Over 80 percent of Taiwan manufacturers have invested in China, their main destination for overseas projects, a government survey showed yesterday.
The survey, conducted by the economic ministry in the second half of 2005 on 2,248 local manufacturers, showed some 81 percent of them had invested in the mainland, up from 76.7 percent in 2004 and 77.75 percent in 2003.
Nearly 45 percent of those with mainland investments said they were profitable, compared with 36 percent in the red and 19 percent whose businesses had collapsed.
"The survey indicated ... that more and more local manufacturers have switched to China for business expansion, eying a huge market and rich human resources on the mainland," a ministry official said.
China has attracted an estimated US$80 billion channeled there over the years for various projects from local businesses and it replaced the United States as Taiwan's largest market in November 2002 despite mounting political tensions between the two sides.
Taiwan's independence-leaning President Chen Shui-bian, in his new year message earlier this month, took a more hardline stance on ties with China against a backdrop of concern Taiwan could end up with too many of its investment eggs in one basket.