China says Taiwan should be more open to its investment

ChipMOS TECHNOLOGIES

11/03/2017 02:53

BEIJING, March 11 (Reuters) - China's Industry Minister, 
Miao Wei, said on Saturday that self-ruled Taiwan should be more 
open to Chinese investment after two high-profile cross-Taiwan 
Strait deals fell through. 
    Taiwan's ChipMOS Technologies  8150.TW  in November said it 
had scrapped a planned $373 million stake sale to China's 
Tsinghua Unigroup due to uncertainty about Taiwanese regulatory 
clearance. It's the second deal in as many months between the 
mainland's Unigroup and a Taiwanese firm to fall through. 
 urn:newsml:reuters.com:*:nL4N1DV2DA 
    The share sale was spiked due to political considerations, 
industry analysts said, following intense scrutiny when the 
independence-leaning Democratic Progressive Party (DPP) came to 
power in Taiwan last year. 
    Speaking on the sidelines of the annual meeting of China's 
parliament, Miao said economic cooperation between both sides of 
the Taiwan Strait have made huge progress in the last three 
decades since the two began a detente. 
    China welcomes Taiwan chip companies to invest in China, he 
added. 
    "Of course, we hope that openness is two-sided, not 
one-sided," Miao said. 
    "We encourage and support Taiwanese companies to develop in 
the mainland, and at the same time Taiwan should have an even 
more open attitude towards mainland companies entering Taiwan." 
    Miao said such cooperation is good for both economies. 
    The DPP is traditionally less friendly toward China and 
espouses the island's formal independence, a red line for 
Beijing. 
    Shortly after Taiwan President and DPP leader Tsai Ing-wen 
took office last May, China cut off official communication with 
Taipei because she refused to accept China's view that the 
democratic island is a part of China. 
    China deems Taiwan a wayward province to be taken back by 
force if necessary. Taiwan has protected its prized chip 
industry from becoming too reliant and open to China. 
    Defeated Nationalist forces fled to Taiwan in 1949 after 
losing a civil war with the Communists. 
 
 (Reporting by Ben Blanchard; Editing by Sam Holmes) 
 ((ben.blanchard@thomsonreuters.com; +86 10 6627 1201; Reuters 
Messaging: ben.blanchard.thomsonreuters.com@reuters.net)) 
 
Keywords: CHINA PARLIAMENT/TAIWAN