The Taiwan government is drawing up measures to encourage companies with factories in China to shift operations back to Taiwan, in response to the rising threat from the US-China trade dispute on its critical electronics manufacturing industry.
The incentives, which are being finalised, include relaxation of Taiwan’s strict land-use regulations as well as expanded tax breaks for spending across equipment upgrades, research and development, and manufacturing automation, trade officials told the FT.
“If [companies] decide to come back to Taiwan to produce more products, we know we have to help them,” said John Deng, Taiwan’s top trade negotiator and minister without portfolio.
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