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Cross-Taiwan Strait Relations in an Era of Technological Change pp 96–117Cite as

Palgrave Macmillan

The Role of High Technology in Mainland China’s Outward Investment into Taiwan: Economic, Security and Cultural Dimensions

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Part of the St Antony’s Series book series (STANTS)

Abstract

On 30 June 2009, under the general mood of improving cross-Strait relations, the government of Taiwan made a firm commitment to open the island’s borders to investments from mainland China, Before then, capital flows between mainland China and Taiwan had been largely a one-way street: thousands of Taiwanese firms and Taishang (Taiwan-based entrepreneurs) had invested millions in low-cost production activities on the mainland, as Chapter 4 discussed in great detail, while most companies from the People’s Republic of China (PRC) were barred from entering Taiwan as a direct result of the cross-Strait political impasse and the potential threat to the island’s security.1 On 9 August 2012, this was to change for good — Taiwan’s commitment to the entry of mainland direct investment (MDI) was set firmly in stone by the signing of the Cross-Strait Bilateral Investment Promotion and Protection Agreement (Cross-Strait B1A). an investment treaty of similar format to the thousands concluded among countries worldwide. This agreement was one of the many agreements to follow the conclusion of the Economic Cooperation Framework Agreement (ECFA) signed by both sides on 29 June 2010.

Keywords

  • Foreign Direct Investment
  • Direct Investment
  • Outward Foreign Direct Investment
  • Strategic Asset
  • Chinese Investment

These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Notes

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Author information

Authors and Affiliations

  1. Lecturer in the Economy of China, Lau China Institute, King’s College London, UK

    Jan Knoerich

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  1. Jan Knoerich
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Editor information

Editors and Affiliations

  1. Lecturer in the International Relations of China, School of Interdisciplinary Area Studies, University of Oxford, UK

    Paul Irwin Crookes

  2. Lecturer in the Economy of China, Lau China Institute, King’s College London, UK

    Jan Knoerich

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© 2015 Jan Knoerich

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Knoerich, J. (2015). The Role of High Technology in Mainland China’s Outward Investment into Taiwan: Economic, Security and Cultural Dimensions. In: Crookes, P.I., Knoerich, J. (eds) Cross-Taiwan Strait Relations in an Era of Technological Change. St Antony’s Series. Palgrave Macmillan, London. https://doi.org/10.1057/9781137391421_6

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