Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
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n 1986 t he rat i os of i ndust ry and servi ces i n Tai wans gross
domest i c pr oduct wer e j ust about t he same, 47 per cent f or
each. After that, however, services overtook industry and by 2007
accounted for 71.06 percent of the economy. The same year, high-
t ech i ndust r i es cont r i but ed 42. 6 per cent of t he i sl ands t ot al
manufacturing production. These figures reflect Taiwans transition
from agriculture and manufacturing to a knowledge-based economy
founded on services and technology industries. We are proud of
the high esteem in which Taiwan is held by international rating
institutions. In the 2007 Global Competitiveness report compiled
by the World Economic Forum, for example, Taiwan was ranked first
in the development of its industrial clusters among 131 economies.
Our gover nment i s cur r ent l y car r yi ng out an acr oss- t he- boar d
readjustment to cope with new conditions in the global economy.
This includes upgrading the competitive advantages of our industries,
creating core value and molding Taiwan into an indispensable link
in the global supply chain. The government is also working hard to
promote programs that facilitate enterprise development and assist
organizations to expand and upgrade their economic vitality, while
achieving the development targets of a dynamic Taiwan.
I am pleased to have the opportunity to introduce this book, Doing
Business with Taiwan, which is being published by the Taiwan
Ext er nal Tr ade Devel opment Counci l . I t cont ai ns a var i et y of
useful information on many topics and will give readers a better
understanding of Taiwans investment environment and economic
development conditions. Finally, I would like to wish you all success
in your business endeavors.
Chii-ming Yiin
Minister
Ministry of Economic Affairs
5 Doing Business with Taiwan
PREFACE
T
odays highly competitive and rapidly changing world presents
boundl ess oppor t uni t i es as wel l as new chal l enges f or t he
business communities of every nation. This has seen the strategy of
expanding and investing abroad become an increasingly attractive
option for successful business leaders. In this regard, Taiwan offers
a stable, growing market while also serving as a gateway to other
Asia-Pacific markets. Doing Business with Taiwan reflects the
countrys dynamic economy, global competitiveness, and favorable
investment climate.
This book, which is a valuable tool for business people considering
trading with and investing in Taiwan, contains information about
pot ent i al sect or s f or i nvest ment , i ncent i ves, maj or i ndust r i al
parks and the living environment. It also offers a closer look at
life and culture in Taiwan, including scenic attractions, cultural
activities and shopping. All of these facets further enhance Taiwans
competitiveness. To save readers time and energy, the publication
cont ai ns conci se and pract i cal i nformat i on, al ong wi t h l i nks t o
relevant agencies Web sites for further information.
Taiwan is entering a new stage of national development, and the
government is sparing no effort to create an advantageous investment
envi ronment . Thi s gui de showcases TAITRAs cont i nui ng dri ve
to provide foreign business people with a better understanding of
Tai wan. We are pl eased t o have t he opport uni t y t o compi l e t hi s
important resource, thereby assisting the global business community
to accomplish all it can as it works together with Taiwan toward both
parties common goals. If you have any comments or suggestions
concerning the content, please feel free to contact TAITRA
Chih-Kang Wang
Chairman
Taiwan External Trade Development Council
1. Taiwan in Brief
11
2. Entry and Residence
15
2.1 Visa-Exempt Entry
16
2.2 Visitor Visas
18
2.3 Landing Visas
18
2.4 Resident Visas
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2.5 Customs Clearance
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2.6 Work Permit
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3. Foreign Trade
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Overview
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3.1 Foreign Exchange Regulations
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3.2 Import Licensing
29
3.3 Taxation
30
3.4 Major Trading Partners
32
3.5 Exhibition Centers and TICC Convention Center
33
3.6 Trade Fairs
36
INDEX
Doing Business with Taiwan
2008-2009
Doing Business with Taiwan 6
4. Investment
43
Overview
44
4.1 Reasons to Invest in Taiwan
48
Competitive Advantages
48
Incentives
57
Intellectual Property Rights
60
4.2 Target Investments in Taiwan
60
Opportunities
60
4.3 Where to Invest in Taiwan
63
Science and Industrial Parks
63
Free Trade Zones
69
Export Processing Zones
69
4.4 How to Invest in Taiwan
72
Application Procedures
72
Common Investment Patterns in Taiwan
74
Pensions and Labor Insurance Old-Age Beneft
75
Staff Recruitment Services
76
International Business Center
77
7 Doing Business with Taiwan
5. Living in Taiwan 81
5.1 Accommodation 82
5.2 Banking and Postal Services 84
5.3 Business Culture 89
5.4 Dining Out 91
5.5 Education 96
5.6 Medical 100
5.7 National Holidays (2009) 102
5.8 Practical Chinese 102
5.9 Public Safety 106
5.10 Telecommunication 108
5.11 Transportation 110
6. Tourism 125
Overview 126
6.1 Tourist Attractions 126
6.2 Recreation 131
Performing Arts 131
Golf 134
Hot Springs and Spas 134
Night Markets 135
6.3 Festivals 136
6.4 Shopping 139
3C Products 140
Tea 141
Pastries 142
Handicrafts 143
6.5 Health Care 145
Doing Business with Taiwan
2008-2009
Doing Business with Taiwan 8
7. Useful Contacts 147
MOEA Overseas OIfces 147
TAITRA Overseas OIfces 151
Government Organizations 153
Foreign Organizations in Taiwan 154
Major Business Associations 156
Other Information 157
8. Advertisers Index 161
1
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1
TAIWAN IN BRIEF
Doing Business with Taiwan 12
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Country
Capital Taipei City
Currency
New Taiwan Dollar (NT$)
Bills: 2000, 1000, 500, 200, 100
Coins: 50, 20, 10, 5, 1
Land area 36,000 square kilometers
Population 23 million
Population growth rate
(2006-2007)
0.35 percent
Temperature
Summers: May to September, average
daytime highs 27 to 35 degrees Celsius
Winters: December to February, average
lows 12 to16 degrees Celsius
Direct international
dialing
886 + area code + number
Time GMT + 8 hours
OIfcial language Mandarin
Other languages
Holo-Taiwanese, Hakka, Indigenous
Languages
Religions Buddhism, Taoism, Christianity, Islam
Major political parties
Kuomintang
Democratic Progressive Party
Electricity
110 volts, 60 cycles (220 volts for air
conditioners)
Business hours
Government and Business:
09:00 to 17:30 Monday to Friday
Department Stores:
11:00 to 21:30 Monday to Sunday
Convenience Stores:
24/7
13 Doing Business with Taiwan
TAIWAN IN BRIEF
Source information:
Currency: http://www.cbc.gov.tw
Temperature: http://www.cwb.gov.tw
Doing Business with Taiwan 14
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Note: All statistics are for 2007 unless otherwise stated.
Source information:
GDP, GDP per capita, GDP growth rate: http://eng.dgbas.gov.tw
CPI growth, Unemployment rate: http://eng.stat.gov.tw
Exchange rate: http://www.cbc.gov.tw
Foreign exchange reserves: http://eng.stat.gov.tw
External debt: http://www.cbc.gov.tw
Imports and Exports: http://www.mof.gov.tw
Arbitration organization: http://www.arbitration.org.tw
Economy
Gross Domestic Product US$383.3 billion
GDP per capita US$16,790
GDP growth rate 4.78 percent
Economic growth rate 5.72 percent
Consumer Price Index growth in
August 2008
4.78 percent
Exchange rate 32.84 NT$:US$ (average)
Foreign exchange reserves in
August 2008
US$282.09 billion
External debt US$94.5 billion
Unemployment rate in July 2008 4.06 percent
Exports US$246.68 billion
Imports US$219.25 billion
Trade authority
Bureau of Foreign Trade, Ministry
of Economic Affairs
Arbitration organization
The Arbitration Association of the
Republic of China
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ENTRY AND RESIDENCE
Doing Business with Taiwan 16
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epending on the purpose of travel and the duration of stay, those
travel to Taiwan may need to apply for a Visitor Visa or Resident
Visa before their arrival. Alternatively, some visitors may be eligible for
a Landing Visa upon disembarkation. To ensure a rapid transit through
customs after immigration formalities are completed, it makes good sense
to learn about customs clearance requirements and special programs like
ATA Carnet, which allows equipment or merchandise that will be re-
exported within 12 months to clear customs without the payment of duties
and taxes.
2.1 Visa-Exempt Entry
Citizens of the following countries are covered by a visa-exempt program
that enables them to stay in Taiwan for up to 30 days: Australia, Austria,
Belgium, Canada, Costa Rica, Czech Republic, Denmark, Finland,
France, Germany, Greece, Iceland, Ireland, Italy, Japan, Liechtenstein,
Luxembourg, Malaysia, Malta, Monaco, Netherlands, New Zealand,
Norway, Portugal, Singapore, South Korea, Spain, Sweden, Switzerland,
the United Kingdom and the United States.
17 Doing Business with Taiwan
ENTRY AND RESIDENCE
*
Doing Business with Taiwan 18
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2.2 Visitor Visas
Visitor Visas can be obtained by foreign nationals who hold ordinary
passports, or other legal travel documents, and intend to stay in Taiwan
for less than six months for the purpose of transit, engaging in business,
tourism, visiting relatives, attending training courses, receiving medical
treatment or other permissible activities. Holders of these visas are
eligible to apply at the local police station for extensions of 120 or 90
days if their visas were issued with a duration of 60 or 90 days and the
visas do not bear a no extension will be granted notation. Visitors from
countries with which Taiwan has reciprocal agreements may receive visas
at no charge. Individuals from other countries must pay a fee of NT$1,600
for a single-entry Visitor Visa and NT$3,200 for a multiple-entry one.
The application fee for U.S. citizens is NT$1,600 for single entry and
NT$4,100 for multiple entry.
2.3 Landing Visas
Citizens of Hungary, Poland and Slovakia qualify for Landing Visas,
which are valid for a single entry, have a maximum duration of 30 days,
and cannot be extended. Holders of emergency or temporary passports
with a validity of more than six months issued by these three countries,
19 Doing Business with Taiwan
ENTRY AND RESIDENCE
or by those countries whose citizens are eligible for visa-exempt entry,
also qualify for Landing Visas. The fee is NT$1,600. Those holding U.S.
passports with a validity of less than six months are also eligible to apply
for Landing Visas at Taiwan ports of entry. The special-handling charge
for such a visa is NT$4,100 plus an additional fee of NT$800.
2.4 Resident Visas
Resident Visas are issued to foreigners who hold ordinary passports
or other legal travel documents and intend to stay in Taiwan for more
than six months for the purpose of accepting employment, engaging in
business, making investments, joining family, pursuing studies, doing
missionary work, or engaging in other permissible activities. Supporting
documents or official letters of approval from a competent authority in
Taiwan should be submitted with the application.
Doing Business with Taiwan 20
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For foreign visitors from countries with which Taiwan has entered into
reciprocal agreements, the visas are issued at no charge. For those from
other nations, the fee for a single-entry Resident Visa is NT$2,200
and NT$4,400 for multiple entry. The visa application fee is NT$4,100
for U.S. citizens. An additional handling charge of NT$800 applies to
applications made in Taiwan by Visitor Visa holders applying to change to
a Resident Visa.
If foreign nationals who have entered Taiwan with Visitor Visas are
subsequently legally employed in the county, they may make the
necessary change from their Visitor Visa to a Resident Visa without
departing Taiwan.
The above regulations do not apply to contract laborers or those who enter
Taiwan via the visa exemption program or a Landing Visa.
Resident Visa holders must apply Ior an Alien Resident Certifcate aIter
being admitted into Taiwan. Visas issued by the Ministry of Foreign
Affairs within Taiwan may only be used to apply for the ARC and may
not be used for entry into Taiwan.
2.5 Customs Clearance
Passengers carrying goods mentioned below must file a written
declaration with Customs and pass through the Goods to Declare
counter (Red Lane). Otherwise, the declaration may be waived, and
passengers may pass through the Nothing to Declare counter (Green
Lane). Customs officials are available at all times to answer questions
concerning goods to declare prior to exiting.
21 Doing Business with Taiwan
ENTRY AND RESIDENCE
Weapons, guns, a total baggage value over the amount of duty exemption
of NT$20,000, and alcoholic beverages and cigarettes over the quantity
of duty exemption (200 cigarettes, or 25 cigars or 1 pound of tobacco;
1,000 c.c. of alcoholic beverage) must be declared. Undeclared foreign
currencies of more than US$10,000 will be confiscated. Any aquatic
products, animals, plants, endangered species of wildlife, or products
made thereIrom will be confscated.
Commercial samples with a total customs value exceeding NT$12,000
should be declared. The traveler may either register the items upon entry
and show them when departing, or pay the customs duty and receive a
refund upon departure after presenting the items for inspection.
ATA Carnet
The ATA Carnet is a temporary export document that eliminates the
need for a customs declaration at border points and the deposit of a
guarantee, bond, or cash deposit in the country of temporary importation.
The regulation stems from the ATA Carnet Convention in 1961, and
the Taiwan External Trade Development Council (TAITRA) has signed
bilateral agreements with 37 countries. Applicable goods are confined
Doing Business with Taiwan 22
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to professional instruments and equipment; goods for display or use at
exhibitions, international fairs, meetings or other similar events; and
commercial samples imported for display or demonstration in business
solicitation campaigns. They must be re-exported within 12 months from
the date of the Carnets issue in the holders home country.
http://www.mof.gov.tw
2.6 Work Permit
Taiwan enterprises and organizations that wish to employ foreign
nationals or overseas Chinese are required to apply for work permits
on their behalf. For public- and private-sector entities in the fields of
industry and commerce, a curriculum vitae for the candidate containing
educational qualifications, linguistic skills and work experience must
be submitted, together with copies of the employment contract and
documentation related to the entity's corporate status. Applications are
approved by one of several ministries or agencies, depending upon the
specifc nature and location oI the applicant`s business operations.
After receiving the work permit, the employee should apply for a
Resident Visa. The employee may do this either in the home country
or within Taiwan if they have already entered Taiwan on a Visitor Visa.
After receiving the Resident Visa, the employee must apply for an Alien
Resident Certifcate.
http://www.boca.gov.tw
3
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FOREIGN TRADE
Overview
Taiwan is a leading economic and trading center, with Kaohsiung one
of the busiest ports in the world. The countrys economy has grown
rapidly over the past 40 years, led by explosive growth in foreign trade.
The 1960s saw a fivefold increase in the total value of trade, followed
by almost a tenfold increase in the 1970s, a twofold increase in the
1980s, and a slightly lower rate of increase in the 1990s. Meanwhile, the
composition of exports shifted from mostly agricultural commodities to
industrial goods, exemplifed by the electronics sector, which is Taiwan`
s most important industrial export sector. This segment also attracts the
largest share of foreign investment.
With its export-oriented economy, Taiwan is reliant on the world of free
trade. Although the island maintains formal diplomatic relations with
only a handful of its trading partners, the nation has cultural and trade
oIfces in more than 60 economies around the world to Iurther its interests
and support the rapid expansion of commerce. In January 2002, Taiwan
became a member of the World Trade Organization as the Separate
Customs Territory of Taiwan, Penghu, Kinmen and Matsu. Since Taiwan
was admitted to the WTO as a developed country, it agreed to open
its economy to foreign competition. In addition to the WTO, Taiwan is a
member of the Asian Development Bank as Taipei, China and the Asia-
Pacific Economic Cooperation forum as Chinese Taipei. Taiwan has
also been negotiating with the United States for a free trade agreement.
These developments refect Taiwan`s economic importance and its desire
to become further integrated into the global economy.
Known as the silicon island of East Asia, Taiwan leads the world in
computer chip manufacturing and is one of the leading manufacturers of
liquid-crystal display panels, personal computers, dynamic random access
memory chips, networking equipment, and consumer electronics. Textile
Doing Business with Taiwan 24
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production remains a key segment, although, like other labor-intensive
industries, its importance is declining due to rising wages.
Imports predominantly consist of inputs for manufacturing, namely raw
materials and capital goods, which account for more than 90 percent of
the total. As Taiwan lacks suIfcient domestic energy sources, it is largely
dependent on imports such as coal, oil and gas.
Statistics
Taiwans trade surplus for 2007 reached a record US$27.4 billion. Exports
totaled US$246.7 billion and imports totaled US$219.3 billion. China has
recently become Taiwans largest trading partner. In 2007, China (including
Hong Kong) accounted for 40.7 percent of Taiwans exports and 13.6
percent of imports. It was followed by Japan with 13.3 percent and 20.9
percent and the United States with 13 percent and 12.1 percent. Taiwans
and Chinas economies are becoming increasingly interdependent. Many
of the islands labor-intensive industries have shifted production to China.
As Taiwans standard of living continues to rise, the demand for imported,
high-quality consumer goods is also increasing.
http://eweb.trade.gov.tw
25 Doing Business with Taiwan
FOREIGN TRADE
Taiwans Major Import Products in 2007
Sources: Customs Statistics of R.O.C.
Doing Business with Taiwan 26
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0 10 20 30 40 50
Percentage of imports
Amount (US$ billion)
Imports
Electrical machinery products
Fossil fuels
Machinery
Optical, photographic, measuring
and medical instruments
Iron and steel
Organic chemicals
Copper products
Other chemicals
Plastic products
Transportation equipment
Source: Directorate General of Customs
48.93
22.3
43.47
19.8
23.60
10.8
12.60
5.7
11.44
5.2
10.24
4.7
6.52
3.0
6.25
2.9
5.91
2.6
3.37
1.5
Taiwans Major Export Products in 2007
27 Doing Business with Taiwan
FOREIGN TRADE
0 10 20 30 40 50 60 70 80 90
Exports
Electrical machinery products
Fossil fuels
Machinery
Optical, photographic, measuring
and medical instruments
Iron and steel
Organic chemicals
Copper products
Articles of iron and steel
Plastic products
Transportation equipment
89.55
36.5
28.54
11.6
19.58
7.9
16.70
6.8
13.75
5.6
11.07
4.5
8.92
3.6
6.80
2.8
6.31
2.6
4.54
1.8
Percentage of exports
Amount (US$ billion)
Source: Directorate General of Customs
2008 Forecast of Taiwans Exports and Imports
(re-exports and re-imports included)
Unit: US$ billion
Exports Imports
Amount Growth Rate % Amount Growth Rate %
CIER 265.2 7.51 242.2 10.45
TIER 274.2 11.16 249.1 13.61
DGBAS 261.8 6.1 233.1 6.27
Sources:
Chung-Hua Institute for Economic Research (March 2008)
Taiwan Institute of Economic Research (April 2008)
Directorate General of Budget, Accounting and Statistics, Executive Yuan
(February 2008)
3.1 Foreign Exchange Regulations
Following the establishment of the Taipei Foreign Exchange Market
in February 1979, a flexible exchange rate system was formally
implemented in Taiwan, allowing the market to determine the New
Taiwan dollar exchange rate. As part of its program of reforms, the CBC
began deregulating the foreign exchange controls on capital movements
in 1987. Capital movements have been completely liberalized, but
settlements of short-term capital movement exceeding the annual limit on
the accumulated remittance amount must obtain the CBCs approval.
Cash flows not involving the conversion of New Taiwan dollars have
been completely liberalized. For cash fows involving the conversion oI
Doing Business with Taiwan 28
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New Taiwan dollars, inward and outward remittances related to goods of
foreign trade or to services are completely free, and direct investments
and portfolio investments approved by the competent authorities were
also liberalized. For remittances, if the total annual remittance by a natural
person does not exceed US$5 million or equivalent or by a juridical
person does not exceed US$50 million or equivalent, it may proceed
directly through an authorized bank. Total remittances that exceed those
amounts require the CBCs prior approval. For a single remittance by
a non-resident that does not exceed US$100,000 or equivalent, it may
proceed directly through an authorized bank. A remittance over that
amount requires the CBCs prior approval.
http://www.cbc.gov.tw
3.2 Import Licensing
Taiwan has eliminated almost all import controls since its entry into
the WTO in 2002. Those product categories that require import permits
from the Bureau of Foreign Trade have been reduced to only 24, while
restrictions remain on 63 product categories. These restricted items, such
as ammunition and some agricultural products, can only be imported in
certain circumstances and may require a license or special authorization.
Taiwan has lowered duties on imported agricultural products to an
average of about 14.5 percent, which will further fall to 12.86 percent by
2010. Imports that were banned prior to WTO accession, such as rice,
certain other agricultural products and fsh products, can now be imported
but in a few cases are subject to tariff rate quotas. For automobile
imports, tariff rate quotas have replaced the previous restrictions. For
domestic automobile production, local content requirements have been
removed. Imports of oil and gas have now been opened to the private
sector. Following the privatization of the Taiwan Tobacco and Wine
Monopoly Bureau in 2002, any Taiwan-registered commercial enterprise
is now allowed to produce, distribute and sell alcoholic beverages and
tobacco products.
29 Doing Business with Taiwan
FOREIGN TRADE
Doing Business with Taiwan 30
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3.3 Taxation
For those working, doing business, or investing in Taiwan, an
understanding of Taiwans taxation system is important. Unlike the
situation in many other countries, Taiwans tax laws and regulations are
not codifed, or collected into a systematic arrangement. Instead, a specifc
law governs each tax, so it is important to investigate the applicable
statute and then become familiar with it. Altogether, there are 18
categories of taxation, divided among the national, special-municipality,
county and city levels.
The highest executive taxation body in Taiwan is the Ministry of Finance.
Customs duties are collected by the Directorate General of Customs in
Taipei, Keelung, and Kaohsiung and by regional tax oIfces in northern,
central and southern Taiwan.
Income Tax
Foreign companies in Taiwan are subject to income tax. The major tax
is the Proft-Seeking Enterprise Income Tax. It is assessed on annual net
31 Doing Business with Taiwan
FOREIGN TRADE
profits, up to a maximum rate of 25 percent. A number of
investment tax credits are available, but the Alternative Minimum
Tax sets a floor of 10 percent or 12 percent. In addition, earnings of
individuals are subject to individual income tax. Individuals present in
Taiwan for less than 183 days in one tax year are considered to be non-
residents and are taxed at a fat rate ranging Irom 20 percent to 35 percent,
while those residing in Taiwan for 183 days or more in a tax year are
deemed residents and taxed at a graduated rate that runs from 6 percent to
40 percent.
Commodity Tax
Certain domestic products and imported goods are subject to commodity
tax based on the value or volume. Commodities subject to the tax include
vehicles, rubber tires, non-alcoholic beverages, fat panel glass, electrical
appliances, cement, oil and gas. Legislation is being considered to
eliminate commodity tax on some products.
Customs Duties
Customs duties on imported items are assessed at rates specified in the
government tariff schedule. In recent years these rates have been reduced
substantially, reflecting ongoing efforts to liberalize the economy and
encourage imports.
Business Tax
The value-added tax is essentially a kind of general sales tax applicable to
purchases/sales of most goods and services and to purchases of imported
goods. In general, businesses can use VAT paid to offset VAT levied on
the sale of their goods or services. The current VAT rate is 5 percent of the
sales total.
Doing Business with Taiwan 32
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3.4 Major Trading Partners
As a member of the WTO, Taiwan has been active in establishing
multilateral and bilateral relations with other economic entities, thereby
creating more opportunities for international trade. This also facilitates
contacts between foreign business people and their Taiwan counterparts.
The islands convenient location in the middle of rapidly growing
Asian economies also helps make it an ideal place to fnd suitable trade
opportunities. Taiwans top trading partners at present are as follows:
Exports: Hong Kong and China, the United States, Japan, Singapore,
South Korea, Vietnam, Germany, Malaysia, Philippines, Thailand and the
Netherlands.
Imports: Hong Kong and China, Japan, the United States, Saudi Arabia,
South Korea, Kuwait, Germany, Australia, Malaysia and Indonesia.
http://www.mof.gov.tw
Cross-strait Economic Ties
With the growing economic integration across the Taiwan Strait, China
has become Taiwans largest trading partner, and Taiwan is the fifth
largest investor in China. According to Investment Commission of the
Ministry of Economic Affairs statistics, the total number of registered
investments in China from 1991 to June 2008 was 36,911, accounting for
US$69.9 billion. Of the Taiwanese manufacturing done outside Taiwan,
82 percent was in China, based on a report published by the Department
of Investment Service, MOEA in November 2007. With their proven
performance in China, Taiwanese businesses can help foreign enterprises
enter the China market. Such enterprises will also find it beneficial to
recruit experienced Taiwanese talent to assist them.
33 Doing Business with Taiwan
FOREIGN TRADE
3.5 Exhibition Centers and TICC Convention Center
Taipei World Trade Center
The Taipei World Trade Center was opened in January 1986 by
Taiwans foremost trade promotion organization, TAITRA, to provide
a single and modern venue that would combine exhibition space,
conIerence Iacilities, oIfces, and hotel accommodation Ior international
business. The TWTC brings together a vast range of consulting services
on trade-related issues, trading partners, suppliers and markets.
This four-in-one complex is designed to accommodate the needs of the
international business community. The Exhibition Hall, International
Convention Center, International Trade Building and Grand Hyatt
comprise one integrated business complex. The TWTC stands at the head
of world trade while serving as a model for global trade centers.
http://www.twtc.com.tw
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Taipei World Trade Center Nangang Exhibition Hall
Taipei World Trade Center Nangang Exhibition Hall is the newest
exhibition venue in Taipei and one of the most advanced in the world.
Located to the east of the Taipei World Trade Center, the center consists
of two purpose-built exhibition halls, and is about a 15-minute drive from
the TWTC along the Huangdong Expressway.
FOREIGN TRADE
This complex has the capacity to host 2,465 standard-size (3x3-meter)
booths and occupies an exhibition space of 45,360 square meters.
Construction cost US$110 million, and it opened in March 2008.
http://www.twtcnangang.com.tw
TICC Convention Center
The Taipei International Convention Center reflects the emergence of
Taipei as a world-class business destination. Purpose-built to meet the
requirements of international meetings, congresses and conferences, its
state-of-the-art facilities offer the latest audio, visual and communications
equipment. The 60,000-square-meter TICC encompasses six spacious
levels and has a column-free, multi-purpose plenary hall able to seat 3,100
people, 21 meeting rooms of various sizes, and a 1,000-seat banquet hall.
Since opening in 1990, TICC has hosted numerous prominent
international events, including international congresses with multiple
simultaneous translation requirements, annual meetings, launches of new
promotional campaigns, gala balls and business conferences.
http://www.ticc.com.tw
Doing Business with Taiwan 36
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3.6 Trade Fairs
With the transformation of Taiwans economic structure, the service
industry has played an increasingly significant role in the nations
economy, growing to more than 70 percent of GDP. Exhibition services,
including arranging meetings and conventions, have high potential to
grow quickly and create added value in the market. The Executive Yuan
also lists exhibition services as one of the top 12 projects to be promoted
in Taiwans service industry.
TAITRA boasts a well-coordinated trade promotion and information
network of over 600 trained specialists in its Taipei headquarters, four
local branch offices in Hsinchu, Taichung, Tainan and Kaohsiung,
and over 49 overseas branch offices worldwide. Together with its
sister organizations, Taipei World Trade Center and Taiwan Trade
Center, TAITRA has created a wealth of trade opportunities through its
sponsorship of trade fairs and exhibitions.
2009
March 2-7
Taipei International Machine Tool Show
http://www.timtos.com.tw
The biggest biennial exhibition of metalworking machinery in Taiwan
March 11-15
Taipei International Flower Exhibition
http://www.taipeitradeshows.com.tw
A oral hesta of beauty ana cultural events, TIFE represents the most
comprehensive ana newest ower selections from Taiwan.
March 17-20
Taipei International Cycle Show
http://www.taipeicycle.com.tw
This show aisplays high-value ana top-ena cycle proaucts, with
participation by internationally renownea branas.
March 19-22
Taipei International Sporting Goods Show
http://www.taispo.com.tw
Asias premier forum for sporting gooasa full line-up of high-quality
innovative proaucts
FOREIGN TRADE
April 14-17
Taipei International Auto Parts and Accessories
Show (AMPA)
http://www.taipeiampa.com.tw
Taipei AMPA presents Asias leaaing auto parts ana accessories traae
show focusing on the after-market inaustry
April 14-17
Taipei International Automobile Electronics Show
http://www.autotronicsonline.net
The most speciali:ea automobile electronics traae show, with not only
the latest technology, but also forthcoming inaustry trenas
April 16-19
Taiwan International Motorcycle Industry Show
http://www.motorcycletaiwan.com.tw
The worlas only vertically-integratea inaustry fair
April 23-26
Taipei International Gift and Stationery Spring Show
http://www.giftionery.net
The most creative ana innovative exhibition in the gift ana
stationery market
Doing Business with Taiwan 38
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May 1-4
Taiwan International Senior Lifestyle and Health Care
http://www.sencare.com.tw
Taiwans No. 1 ana largest senior lifestyle ana health care show
June 2-6
Computex Taipei
http://www.computextaipei.com.tw
One of the largest ICT shows in the worla ana a leaaing
ICT procurement platform
June 11-13
Display Taiwan
http://www.displaytaiwan.com
The only exhibition presenting the multi-national FPD inaustrys
value chain in Taiwan
June 23-26
Taipei International Food Show
http://www.foodtaipei.com.tw
The perfect platform to launch into the hottest of Taiwans markets
June 23-26
Taipei International Packaging Industry Show
http://www.taipeipack.com.tw
Stagea in confunction with Fooa Taipei ana Fooatech Taipei to showcase
a aa::ling array of proaucts from fooa-relatea inaustries
June 23-26
Taipei International Food, Pharmaceutical Machinery
and Catering Equipment Show
http://www.foodtech.com.tw
Taiwans fooa machinery inaustry stanas out by offering smart aesigns,
premium quality ana reliability.
July 17-20
Taiwan Sports Recreation and Leisure Show
http://www.leisuretaiwan.com.tw
The one ana only sports ana leisure show for the Taiwan aomestic market
July 30-Aug. 3
Taipei Computer Application Show
http://www.tica.tw
The largest ICT consumer show in Taiwan
39 Doing Business with Taiwan
FOREIGN TRADE
Aug. 13-16
Taipei Aerospace and Defense Technology Exhibition
http://www.tadte.com.tw
Taiwans most important biennial professional aerospace
ana aefense inaustry show
Sept. 8-10
SEMICON Taiwan
http://www.semicontaiwan.org
The premier annual event for the micro- ana nano-electronics inaustries
in Taiwan, which showcases technologies usea in the aesign ana
manufacturing of semiconauctors, photovoltaics, nanoelectronics ana
relatea technology.
Sept. 24-27
Taipei International Invention Show and Technomart
http://www.inventaipei.com.tw
Where great iaeas begin, where innovations are reali:ea.
Oct. 7-8
Taiwan International Photovoltaic Forum and Exhibition
http://www.pvtaiwan.com
Taiwans biggest PJ showa perfect platform to launch into the Taiwan
ana Asia markets
Oct. 8-11
Taiwan International RFID Applications Show
http://www.rfdtaiwan.com.tw
Taiwans biggest RFID showa perfect opportunity to access the Taiwan
market
Oct. 8-11
Taipei International Electronics Show
http://www.taitronics.org/taipei/index.shtml
Asias largest traae show for electronic components now enters its 35th
year.
Oct. 8-11
Broadband Taiwan
http://www.broadbandtaiwan.com.tw
Commercial channel platform, gathering together all the various
communication-relatea equipment ana services
Doing Business with Taiwan 40
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Oct. 22-24
Taipei International Gift and Stationery Autumn Show
http://www.giftionery.net/autumn/index.shtml
Most innovative exhibition in the gift ana stationery hela
Oct. 22-24
Creative Taiwan
http://www.creativetaiwan.net
Asias creative heart is beating in Taiwan.
Nov. 5-8
MEDIPHAR Taipei
http://www.mediphar.com.tw
Taiwans foremost professional meaical ana healthcare exhibition presents
a full selection of the latest meaical proaucts ana services.
Nov. 5-8
Kaohsiung Food Show
http://www.foodkh.com.tw
The biggest food show in southern Taiwan
Useful Web sites
http://eweb.trade.gov.tw
http://www.taipeitradeshows.com.tw
http://www.twtcnangang.com.tw
http://iff.immigration.gov.tw
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Overview
Despite the worldwide economic slowdown, Taiwans economy is
forecast to grow 4.8 percent in 2008. Moderate export growth and a 10.5
percent boost in government fxed investment are expected to stimulate
the economy. In the Iirst quarter oI 2008, Taiwan`s real GDP grew 6.1
percent. For this period, exports of goods and services increased by 11.4
percent, while imports of goods and services increased by 9 percent.
One indicator oI Taiwan's investment climate can be Iound in the rankings
provided by U.S.-based Business Environment Risk Intelligence. BERI's
second "Investment Environment Risk Assessment Report" Ior 2008 listed
Taiwan 5th among 50 surveyed countries and regions, aIter Switzerland,
Singapore, the Netherlands and Norway. Taiwan ranked 2nd in Asia, aIter
Singapore.
Taiwan's score oI 73 on BERI's proIit opportunity recommendation
indicator is an improvement oI one point Irom April 2008's result and sees
the island listed equal with Japan. This showing indicates that Taiwan is
well-suited Ior investment.
The report predicted that Taiwan's overall investment environment would
continue to improve over the next fve years, and that Taiwan's POR score
would rise to 75 by 2013. In addition, the island is expected to maintain
its current low-risk ranking throughout this period.
Following the easing oI nearly 95 percent oI regulations governing
Ioreign investment in Taiwan, Ioreign investors can now access all but a
few sectors of the economy where conditional restrictions apply. These
areas include national security, public harmony, social behavior and public
health. Sectors in which foreign investment is restricted or prohibited can
be Iound at: http://www.moeaic.gov.tw.
INVESTMENT
45 Doing Business with Taiwan
Taiwans Global Competitiveness
Taiwan continues to play a dynamic role in the world economy. For
many years, the country has been ranked as the worlds top supplier of
various high-tech products. According to assessment indexes from around
the world, Taiwan is a stand out performer in terms of its technology
innovation, competitiveness, and business environment.
Ranking Criteria Source
1st
State of Cluster
Development Index
(among 131 economies)
World Economic
Forum
Global
Competitiveness
Report 2007-2008
2nd
IT Industry
Competitiveness Index
(among 66 economies)
Business Software
Alliance
How Technology
Sectors Grow
2008
2nd
18 Taiwanese companies
(United States 33, China
7, India 6, Japan 5, South
Korea 4)
BusinessWeek
The INFOTECH
100, 2008
5th
Proft Opportunity
Recommendation
(among 50 economies)
Business
Environment Risk
Intelligence
Investment
Environment
Risk Assessment
Report 2008-
6th
2007-2011 Innovation
Ranking
(among 82 economies)
Economist
Intelligence Unit
13th
Global Competitiveness
Ranking 2007-2008
(among 55 economies)
International
Institute for
Management
Development
1. Approved Foreign Investment (1952- July 2008, by country)
Unit: US$ billion
Cases Amount Percentage
United States 3,365 18.22 19.44
Netherlands 391 16.20 17.29
British Virgin Islands 3,321 16.04 17.12
Japan 5,468 15.39 16.43
Singapore 1,064 5.42 5.79
United Kingdom 501 4.81 5.14
Hong Kong 1,641 3.61 3.86
Bermuda 106 1.98 2.11
Germany 439 1.76 1.88
Malaysia 518 1.52 1.63
Others 3,716 8.73 9.33
Total 20,530 93.7 100
Sources: Investment Commission, MOEA
Doing Business with Taiwan 46
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Foreign Investment
Foreign investment trends emerging on the island reIlect the current
development status oI Taiwan' s economy. Key industries such
as inIormation technology, semiconductors, optoelectronics and
telecommunications are highly competitive in markets around the
world. This ensures continuing valued-added development, as well
as an ample supply oI skilled talent in the Iields oI manuIacturing,
management and research and ensures continuing high value-added
development, as well as ample supplies oI skilled manuIacturing,
research and management personnel.
2. Approved Foreign Investment (1952- July 2008, by industry)
Unit: US$ billion
Industry Cases Amount Percentage
Finance and insurance 869 16.23 17.32
Electrical components
manuIacturing
1,606 15.19 16.21
Wholesale and retail 5,661 8.78 9.37
Computer, electronic and optical 1,265 5.88 6.27
Financial holdings 1,082 5.66 6.04
Electricity Iacility manuIacturing 1,012 5.39 5.76
InIormation and communication 941 5.25 5.60
Scientifc and technical services 1,310 4.15 4.43
Chemical materials manuIacturing 494 3.92 4.18
Non-metallic mineral products 185 3.44 3.67
Metal products manuIacturing 781 2.95 3.15
Machinery equipment 577 2.08 2.22
Accommodation and catering 1,049 1.64 1.75
Food and beverage processing 272 1.36 1.46
Logistics and warehousing 584 1.21 1.29
Logistics & Warehouse 321 1.15 1.23
Basic metals manuIacturing 47 0.9 0.96
Electricity and gas supply 192 0.85 0.91
Auto parts 88 0.82 0.88
Real estate 202 0.75 0.80
Others 1,992 6.08 6.49
Total 20,530 93.7 100
Sources: Investment Commission, MOEA
INVESTMENT
47 Doing Business with Taiwan
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4.1 Reasons to Invest in Taiwan
4.1-1 Competitive Advantages
Taiwan offers both foreign and domestic companies one of the worlds
outstanding investment climates. It has eIIicient logistics, a strong
industrial base and vertical integration in the IT and electronic sectors.
Advanced research and development capabilities, an emerging capital
market, mature business-to-business inIrastructure and Chinese and
international market experience are also present. The island`s highly
entrepreneurial spirit combined with innovation, Ioresight, and fexibility
in both manuIacturing and marketinghas helped Iorge Taiwan a
strong regional presence and allowed the nation to quickly expand into
Asian markets. These characteristics have assisted in Taiwan`s economy
making one oI the most competitive in the world.
Efcient Logistics
Taiwan occupies a strategic position at the center oI three leading
economic regions in Greater China, Northeast Asia and Asia-Pacifc. The
country`s two major harbors, Kaohsiung in the south and Keelung in the
north, boast modern inIrastructure that can eIfciently meet all oI Taiwan`s
shipping and transport needs. These two ports are being transformed into
Iree trade zones, which will speed up customs procedures and the fow
oI goods, thus lowering the cost oI doing business. When comparing the
Asia-Pacifc region`s other major seaports and airports, Taiwan`s central
location ensures that it boasts the shortest shipping times to the other
major ports, averaging about 3 hours by air and 53 hours by sea Irom
Kaohsiung.
INVESTMENT
49 Doing Business with Taiwan
Average Flying Time between 8 Major Asia-Pacic Cities
Cities Hong Kong Shanghai Manila Seoul Tokyo Singapore Sydney Taipei
Average
Flying
Hours
3:05 3:25 3:30 4:00 4:15 4:55 6:15 2:55
Average Sailing Time between 5 Major Asia-Pacic Harbors
Harbors Singapore Tokyo Shanghai Manila Hong Kong Kaohsiung
Average
Sailing
Hours
124 110 78 68 64 53
Taiwan`s road and rail network ensures that passengers and Ireight are
rapidly transported across the island. For example, among the major
roads, National Freeway No. 1 extends 372.2 kilometers Irom Keelung to
Kaohsiung. The Taiwan High Speed Rail has also slashed travel time Irom
Taipei in the north to Kaohsiung in the south to 1 hour and 36 minutes,
making it on par with air travel.
Doing Business with Taiwan 50
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Dynamic Industry Clusters
Taiwan`s manuIacturing industries are characterized by strong vertical
integration extending Irom upstream suppliers to downstream assembly
lines. The nation has developed an interconnected network oI industrial
zones and high-tech industry clusters. These, when combined with its
highly educated workIorce and responsive supply-chain management, are
one oI the secrets as to how Taiwan became a world leader in producing
computer-related products.
INVESTMENT
51 Doing Business with Taiwan
Northern Taiwan
Industry
Clusters
Automobiles and
motorcycles
Ceramics and
porcelains
Clothing/fabrics
Dye industry
Foods
Glass
Semiconductors
Synthetic fber
and yarn
Wood-carving
Southern Taiwan
Industry
Clusters
Automobiles and
motorcycles
Automobile parts
Fishing nets
Foods
Optoelectronics
Petrochemicals
Screws
Shipbuilding and
steel
Synthetic fber
and yarn
Towels
Central Taiwan
Industry
Clusters
Automobiles and
motorcycle
Bicycles
Clothing/fabrics
Faucets
Floriculture
Glass
Hats
Hosiery
Machinery
Optoelectronics
Saxophones
Synthetic fber
and yarn
Doing Business with Taiwan 52
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Cutting-edge R&D Capabilities
In Taiwan, the crucial role that research and development plays in the
economy has long been recognized. Expenditure in this feld is expected
to be 3 percent oI GDP in 2008, up Irom 2.6 percent in 2006. International
companies have established more than 30 R&D centers in Taiwan,
including those oI Broadcom, Dell, DuPont, Google, HP, Intel, Mana,
MicrosoIt, Motorola, NEC, Sony and Synopsys.
Patent flings are a key indicator oI the success oI R&D eIIorts. Taiwanese
applicants have been granted patents in key markets around the world. In
the U.S. Patent and Trademark OIfce, there were 19,301 applications and
7,920 patents granted in 2006, while 7,491 were granted in 2007. In the
Japan Patent OIfce, 1,890 applications and 319 patents were granted in
2006. The European Patent OIIice reviewed 765 applications, with 164
patents approved in 2006.
Source: Directorate-General oI Budget, Accounting and Statistics;
USPTO; JPO; EPO
http://www.dgbas.gov.tw
http://www.uspto.gov
http://www.jpo.go.jp
http://www.epo.org
http://investintaiwan.nat.gov.tw
Emerging Capital Market
In the Iunding oI startups, Taiwan`s stock market is increasingly being
supplemented by a thriving venture capital industry. The country has
become a leading source oI venture capital in Asia, with 219 venture
capital Iirms responsible Ior a total oI US$5.7 billion oI market
capitalization as oI the end oI 2007.
INVESTMENT
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Stocks
Item
Listed
Companies
Market
Capitalization
(US$ billion)
Remarks
Taiwan Stock Exchange 710 625 Note (1)
Over-the-Counter Market 546 55 Note (2)
OTC-Emerging Market 239 34 Note (2)
Venture capital companies 219 5.7 Note (3)
Notes: (1) As of June 2008, (2) As of March 2008,
(3) As of December 2007
Bonds
Item Issues
Outstanding
(US$ billion)
Corporate bond (Straight) 1,443 26.6
Corporate bond (Convertible and
exchangeable)
290 6.9
Note: As of June 2008
Source: Securities and Futures Bureau, Financial Supervisory
Commission, Executive Yuan
http://www.lpsc.gov.tw
Doing Business with Taiwan 54
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Taiwan Stock Exchange Corp., GreTai Securities Market, Taiwan Venture
Capital Association
http://www.tse.com.tw
http://www.otc.org.tw
http://www.tvca.org.tw
http://www.Iscey.gov.tw
Banks
Item Banks Branch Ofces
Domestic 39 3,299
Foreign 32 73
Note: As oI February, 2008
Source: Financial Supervisory Commission, Executive Yuan, Taiwan
http://www.Iscey.gov.tw
Currently, there are 32 Ioreign banks with 73 branch oIIices located
throughout Taiwan, including ABN AMRO, American Express, Bangkok
Bank, Bank oI America, BBVA, BNP, Citibank, Deustche Bank, HSBC,
ING, JP Morgan Chase, MUFG, Societe Generale, SMBC and UBS. In
addition, a number oI alliances between local and Ioreign banks have
developed. For example, Standard Chartered Bank`s majority purchase
oI Hsinchu International Bank and HSBC`s purchase oI Far Eastern
International Bank.
INVESTMENT
Major International Bank Alliances
Foreign
Domestic
Shinsei Bank
Jih Sun Financial Holdings Co.
Standard Chartered Bank
Hsinchu International Bank
American International Group
Central Insurance Co. Ltd.
Citibank Taiwan, Ltd.
Bank oI Overseas Chinese
GE Consumer Finance
Cosmos Bank, Taiwan
Source: Financial Supervisory Commission, Executive Yuan, Taiwan
http://www.Iscey.gov.tw
Strong Presence in Asian Markets
Taiwan is a major investor in Asia, particularly China and the ASEAN
countries oI Vietnam, Cambodia, Thailand, Malaysia, and Indonesia.
More than 50 percent oI Taiwan`s outward Ioreign direct investment
goes to China and ASEAN countries. Among Ioreign investors, in 2007,
Taiwan was ranked 5th in China, 3rd in Vietnam, Thailand and Malaysia,
4th in Cambodia, and 7th in Indonesia and the Philippines.
Doing Business with Taiwan 56
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Taiwans Direct Investment in China and ASEAN Countries as of the
end of 2007
US$ billion
Country Amount Ranking
China 65.52 5th
Indonesia 13.52 7th
Thailand 12.10 3rd
Malaysia 9.86 3rd
Vietnam 9.65 3rd
The Philippines 1.59 7th
Cambodia 0.60 4th
Source: Investment Commission, MOEA, January 2008
http://www.moeaic.gov.tw
Gateway to China
For companies interested in entering the Chinese market, Taiwan serves
as an ideal testing ground and springboard Ior investment. The close
cultural and linguistic ties between Taiwan and China make the island
a natural base Ior such investment. In Iact, many Taiwanese companies
have successIully developed businesses in China. With its export-driven
economy and experience in collaborating with international companies,
Taiwan has the expertise to not only succeed in China but in the Asia-
Pacifc region as a whole.
INVESTMENT
57 Doing Business with Taiwan
4.1-2 Incentives
The government is dedicated to creating a high-quality investment
environment that includes preIerential tax and Iunding incentives.
Investment incentives include tax and non-tax incentives, low-interest
loans, government participation, and incentives for investment
locations. The main tax incentives are provided under the Statute Ior
Upgrading Industries.
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Tax Incentives
Applicable Scope Incentives
R&D and personnel training
A tax credit up to 30 percent oI
the amount invested in R&D and
personnel training against business
income tax payable amortizable
over fve years
New equipment or technology
Deduction oI 5 percent to 20 percent
oI the amount invested in certain
areas Irom business income tax
liability
Investing in emerging,
important, and strategic
industries
The choice of an investment tax
credit Ior shareholders or a fve-year
exemption.
Private participation in
inIrastructure projects
Investment tax credit for shareholders
Five-year tax holiday for a private
institution
Credit Ior expenditures on new
equipment, new technology, R&D or
personnel training
Indirect tax incentive
Establishment oI logistics and
distribution centers
Business income tax exemption on
certain revenues
Establishment oI operational
headquarters
Business income tax exemption on
certain income
Free-trade ports
Goods to be transported overseas
into a free-trade port by a free-trade
port enterprise for its operations
are exempt Irom customs duty,
commodity, business, tobacco and
wine taxes. Public health and welIare
duties on tobacco products, trade
promotion service fees, along with
harbor service duties may also be
lifted.
INVESTMENT
59 Doing Business with Taiwan
Applicable Scope Incentives
Acquisition of technologies
related to operation and
production
Tax incentives, when acquiring
advanced technologies from abroad,
for the payment of royalties, income
taxes on stock acquired in exchange,
and options on stock acquired in
exchange
Non-tax Incentives
In addition to tax incentives like those listed in the table, there are also
non-tax incentives. These include government funding programs, such as
those encouraging new product development and industrial technology
R&D, for which the government may subsidize up to 40 percent of the
cost of development, along with matching funds. Among the various
government funding programs are industrial R&D promotional loans, the
small business innovation research program, and the land lease incentives
in industrial parks (006688 Program). The government also indirectly
provides funds in the form of special low-interest loans administered
by banks.
For more information, please visit the Web site of the Department of
Investment Services (formerly the Industrial Development and Investment
Centre) under the MOEA at: http://investintaiwan.nat.gov.tw.
Doing Business with Taiwan 60
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4.1-3 Intellectual Property Rights
As Taiwan completes its transition Irom a labor-intensive to a knowledge-
based economy, IPR is becoming an increasing Iocus. The government is
developing and implementing IPR policies that promote innovation and
research.
In 2007, the government added three major intellectual property laws:
the 'Intellectual Property Court Organic Act, the 'Intellectual Property
Case Act and the 'Patent Attorney Act. The third oI these laws was the
frst in Taiwan dealing directly with the qualifcations oI patent attorneys
and their professional discipline. In 2008, enforcement of these laws was
strengthened with the inauguration oI the IP court.
Patent applications are managed by the Taiwan Intellectual Property
OIfce, MOEA. For more inIormation on IPR protection, the Patent Act
and the Trademark Act, please visit: http://www.tipo.gov.tw.
4.2 Target Investments in Taiwan
4.2-1 Opportunities
Taiwan may not be as large as some oI its better-known Asian neighbors,
but the island punches Iar above its weight in terms oI advanced
inIrastructure and convenient transportation links. The wide variety
oI investment opportunities on oIIer and breadth oI business networks
combine to make the country an ideal investment destination Ior those
from abroad.
Among the many investment opportunities are the 'i-Taiwan 12 Projects,
an initiative oI President Ma Ying-jeou and his new administration.
These projects have the dual goal oI improving the country`s inIrastructure
and stimulating domestic consumption, which in turn will help realize
Ma`s '633 goal set during the presidential election campaign. This stands
INVESTMENT
61 Doing Business with Taiwan
Ior 6 percent annual economic growth, per capita income oI US$30,000
and an unemployment rate oI less than 3 percent by 2016. The majority oI
the inIrastructure projects Iocus on Iurther upgrading the island`s already
well-developed transportation system.
i-Taiwan 12 Projects
1. Islandwide rapid transit networks
2. Kaohsiung free port and ecopark
3. Taichung Asia-Pacic sea-air logistics center
4. Taoyuan international aviation city
5. Intelligent Taiwan
6. Industrial innovation corridors
7. Urban and industrial district renewal
8. Rural revitalization
9. Coastal areas revival
10. Forestation
11. Flood and river controls
12. Sewage systems construction
http://www.cepd.gov.tw
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Other Opportunities:
Foreign Investment in the Iollowing industries is encouraged and
currently receives special attention Irom the government:
All oI these industries oIIer outstanding opportunities, particularly
for investors from abroad.
Semiconductor and microelectronics
Display and optoelectronics
Biotechnology and pharmaceuticals
Digital content
IT services
Telecommunications and media services
Precision machinery
Materials and ne chemicals
Nanotechnology
Environmental services
Energy
Engineering consulting services
Financial services
Logistics services
Recreation and tourism
Cultural creativity
INVESTMENT
63 Doing Business with Taiwan
4.3 Where to Invest in Taiwan
4.3-1 Science and Industrial Parks
Beginning in 1980, Taiwan established a series oI science parks to bolster
the country`s strong industrial Ioundation. The Council Ior Planning and
Economic Development predicts that by 2017, their yearly output will
reach NT$3 trillion.
Taiwan`s science parks cover nearly 4,000 hectares in total and Hsinchu
Science Park (HSP) in the northwest oI the island is the largest at 1,400
hectares. It comprises six locations: Hsinchu, Jhunan, Tongluo, Longtan,
Hsinchu Biomedical Park, and Yilan. Central Taiwan Science Park
(CTSP) has Iour components: Taichung and Houli in Taichung County,
Huwei in Yunlin County, and Erlin in Changhwa County. Southern
Taiwan Science Park (STSP) is located in Tainan and Kaohsiung cities.
http://investintaiwan.nat.gov.tw
A. Science Parks:
Hsinchu Science Park
HSP was Taiwan`s frst science park, having been established in 1980.
As the most developed oI the nation`s science parks, HSP has been
expanded into several neighboring towns. Many Iamous Iirms have
operations in Hsinchu, including IT and semiconductor companies, such
as Taiwan Semiconductor ManuIacturing and United Microelectronics
Corp. The science park is also home to numerous research and
academic organizations.
The various HSP locations outside oI Hsinchu including Jhubei, Jhunan,
Tongluo, Longtan, and Yilan specialize in diIIerent areas. Jhubei and
Jhunan Iocus on biotech, Tongluo and Longtan on optoelectronics, and
Yilan (the 632-hectare Yilan Telecommunications Knowledge Service
Park) on digital and cultural creativity, R&D oI soItware and hardware,
e-commerce, networking, and digital tools.
Doing Business with Taiwan 64
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HSPs main product categories are:
Electronics and IT
Software
Optoelectronics
http://eweb.sipa.gov.tw
Central Taiwan Science Park
CTSP is located in Taichung in central Taiwan. It has three sites: Taichung,
Huwei and Houli. The Taichung site has a total area oI 413 hectares
and includes Taichung County and Taichung City. CTSP announced the
decision to add another 1,000 hectares to its system oI satellite parks in
August 2008.
The main product categories in STSP are:
Optoelectronics
Precision machinery
Nanometer materials
Aerospace
http://www.ctsp.gov.tw
Southern Taiwan Science Park
STSP was established in 1996. It has three sites occupying 1,616 hectares
in total: Tainan Science Park in Tainan County (1,038 hectares), which
is the main site, and the two satellites Kaohsiung Science Park in Lujhu,
Kaohsiung County (570 hectares) and Kaohsiung Biotechnology Park in
Kaohsiung City (8 hectares).
The main product categories in STSP are:
Optoelectronics
Machinery
FoodstuIIs
Biotechnology
Environmental protection
http://www.stsipa.gov.tw
INVESTMENT
65 Doing Business with Taiwan
B. Software Parks
In order to develop Taipei into an Asia-PaciIic regional base Ior IT
and R&D operations, the Taipei City Government established the
Taipei Technology Corridor. TTC currently comprises oI three high-
tech parksNankang SoItware Park, Neihu Technology Park and
Beitou-Shihlin Technology Park.
Hsinchu
Science Park
Central Taiwan
Science Park
Southern Taiwan
Science Park
Nankang
Software Park
Neihu
Technology Park
Beitou-Shilin
Technology Park
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Nankang Software Park
Nankang SoIt ware Park Iocuses on i nt egrat ed ci rcui t desi gn,
biotechnology, and digital content. Parks such as this compete with rivals
elsewhere in Asia, such as China, Malaysia and Vietnam. As reported in
the March 2008 white paper 'Parks and Valleys: Growing Asia`s SoItware
Industries by the Economist Intelligence Unit, Nankang has a higher
start-up survival rate aIter two years (around 80 percent) than Cyberjaya
in Malaysia, Dalian SoItware Park in China, and Quang Trung SoItware
City in Vietnam.
The areas of focus are:
Software
Knowledge industries
http://www.nkzone.com.tw
http://www.centurydev.com.tw
http://163.29.36.117
C. Industrial Parks
Industry has long been the engine that drives Taiwan`s economic
development. Most oI the island`s industrial parks are set in or near a city
or town to take advantage oI convenient road and rail transportation and
access to technology and human resources. Industrial parks, both public
and private sectors, number approximately 70 and cover more than 40,000
hectares.
Yunlin Technology Industrial Park
Textiles
Optoelectronics
http://www.moeaidb.gov.tw
Kaohsiung Industrial Park
Petrochemicals
Steel
Electronics
INVESTMENT
67 Doing Business with Taiwan
Wu Gu
Dawulun
Dayuan
Hsinchu
Toufen
Dali
Taichung
Changpin
Douliu
Minsyong
Yongkang
Anping
Linyuan
Linhai
Pingtung
Nangang
Lungte
Meilun
Fongle
Industrial Parks and Districts
For more inIormation, please visit:
http://www.besland.com.tw
http://www.rsea.gov.tw
http://www.nsc.gov.tw
http://www.moeaidb.gov.tw
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D. Biotech Parks
For more inIormation, please visit:
http://www.coa.gov.tw.
Yilan Marine
Biotechnology Park
Hsinchu Biomedical
Science Park
Changhua National Center
for Flower-Breed
Development
Chiayi Spice and
Herb Biological
Technology Park
Taiwan Orchid
Plantation Park
Kaohsiung
Biotechnology Park
Pingtung Agricultural
Biotechnology Park
INVESTMENT
69 Doing Business with Taiwan
4.3-2 Free Trade Zones
The government has approved Iive Iree trade zones. Currently, those at
Kaohsiung and Keelung Harbors are in operation, while the other three,
at Taichung Harbor, Taipei (Bali) Port, and Taoyuan Air Cargo Park, are
still under construction. Taiwan`s FTZs oIIer various beneIits, such as
duty and tax exemptions, fexible labor hiring conditions, exemption Irom
customs checking and inspections, streamlined administrative Iormalities,
and easy visa application processes Ior international business people.
Enterprises may use Taiwan FTZs as their global or regional processing,
manuIacturing, and distribution bases. In addition, businesses may
apply to perIorm the Iollowing activities in the Iree trade zones: trade,
assembly, warehousing, repacking, packaging, logistics, repairing,
cargo consolidation, trans-shipment, forwarding, technical service and
exhibition. Foreign enterprises can set up holding companies by means oI
oIIshore investment to avoid double taxation.
For more inIormation, please visit:
Taiwan Free Trade Zones Web site:
http://www.taiwanItz.nat.gov.tw
Kaohsiung Harbor Bureau:
http://www.khb.gov.tw
Keelung Harbor Bureau (also in charge oI Taipei Port):
www.tchb.gov.tw
Taichung Harbor Bureau:
www.tchb.gov.tw
4.3-3 Export Processing Zones
By eliminating certain trade barriers and taking advantage oI Iocused
government support, EPZs can minimize ineIIiciencies and simpliIy
procedures Ior export-oriented manuIacturers to import raw materials, or
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semi-fnished goods, and send their fnished products abroad. In Taiwan,
EPZs have helped attract Ioreign investment, create jobs and increase
international trade and industrial development.
Currently, there are seven EPZs in Taiwan: Taichung, Chungkang,
Nantze, Kaohsiung, Linkuang and Pingtung as well as Kaohsiung
SoItware-based Technology Park. They are located near harbors and
airports, which in turn have excellent access to land transport links
around the island. Exporters are ensured oI the quick shipment oI goods
anywhere in the world.
Pingtung EPZ
Nantze EPZ
Kaohsiung EPZ
Linkuang EPZ
Kaohsiung Software
Industrial Park
Taichung EPZ
Chungkang EPZ
Keelung
Habor
Taipei
Habor
Taoyuan
Habor
Taichung
Habor
Kaohsiung
Habor
INVESTMENT
71 Doing Business with Taiwan
There are numerous advantages to locating in one oI Taiwan`s EPZs:
single-window service with a dedicated oIfcer, speedy customs clearance,
and the availability oI an educated workIorce including experienced R&D
and other technical talent.
Taiwan`s EPZs have attracted many well-known enterprises, such
as Advanced Semiconductor Engineering, Asia Optical, Canon,
Kaohsiung Hitachi Electronics, LG Chem, Nippon Electric Glass, NXP
Semiconductors, United Radiant Technology, and Wintek.
For more inIormation, please visit:
http://www.epza.gov.tw.
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4.4 How to Invest in Taiwan
4.4-1 Application Procedures
Foreign investors should Iirst submit an application to the Investment
Commission, MOEA based on the investor`s status as either an overseas
Chinese or a Ioreign investor. Next, investors must register their company
with the appropriate authority in accordance with the Company Law.
To set up a branch company, investors need to obtain approval Irom the
Department oI Commerce, MOEA. The Iollowing chart outlines the steps
involved in a foreign investment application.
INVESTMENT
73 Doing Business with Taiwan
Investment Flow Chart (establishment of new enterprise)
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Technical Assistance
Law oIIices and accounting Iirms are the primary agencies that assist
Ioreign companies to fle investment applications and set up local oIfces
in Taiwan.
Locally based Iiling agencies` services range Irom documentation to
strategic planning. Many law oIIices have an in-house accounting
department, and accounting Iirms oIten have an in-house legal
department. To provide a one-stop service solution, many oI them also
are supported by related entities in the same group, such as investment
consulting companies, or have entered into strategic cooperation with
related proIessional frms.
Each fling agency has its advantages and specialties, such as patents or
pharmaceuticals. The strengths oI an agency are oI importance, especially
iI the investment involves a product launch on a speciIic date, which
should be handled by a company that has a proven track record oI meeting
deadlines.
4.4-2 Common Investment Patterns in Taiwan
Foreign investments in Taiwan are mainly through mergers and
acquisitions (M&A), joint ventures (JV), and technology transIer. Other
methods, which are becoming increasingly popular with investors, are
regional headquarters, logistics and R&D centers.
In selecting investment targets, most Ioreign investors perIorm this task
completely or substantially in-house, perhaps with the assistance oI
related associations or institutions, with only a minority seeking the help
oI local consultants.
INVESTMENT
75 Doing Business with Taiwan
Common Investment Patterns in Taiwan
Investment Type Strategic Partners
investment
M&A
Investment banking
CPA
JV
TAITRA Database
Industrial Association
Technology transfer
Incubation centers
Industrial promotion entities
Research institutions
By
functions
Regional HQ,
logistics center and
R&D center
Investment incentives based
on Statute Ior Upgrading
Industries
4.4-3 Pensions and Labor Insurance Old-Age Benet
Pensions
Employees hired aIter July 1, 2005 are covered by the new Labor Pension
Act. Retirement beneIits are determined by a deIined contribution
plan that covers Iull-time and part-time local employees. A company
is required to contribute a minimum oI 6 percent oI such employees`
monthly salaries or wages to a retirement Iund, which must be deposited
into the employees` personal retirement accounts under the custody oI the
Bureau oI Labor Insurance. At present, the retirement age in Taiwan is 60
years of age.
Labor Pension Act: http://163.29.29.1
Labor Insurance Old-Age Benet
The labor insurance old-age beneIit is part oI Taiwan`s social security
system. The government, the employer and the employee all contribute
to the insurance account. Once the worker reaches retirement age, he
rect i
F
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oreign
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can apply to the Bureau oI Labor Insurance Ior a lump-sum payment oI
the old-age beneft. Alternatively, a monthly old-age pension can be paid
iI the worker has participated in the insurance program Ior at least 15
years and is aged 60 or above beginning in 2009. The amount oI the
pension is based on both the worker`s number oI years oI covered
employment and the average monthly-insured salary. Any worker who
has met the requirements can claim his old-age beneIits regardless oI
changes in employment.
http://www.bli.gov.tw
4.4-4 Staff Recruitment Services
A well-educated, highly skilled and hardworking labor Iorce has
contributed greatly to Taiwan`s economic success and to the country`s
position as a global leader in high-tech industries. This labor Iorce is also
one oI the key Iactors attracting Ioreign companies to Taiwan.
Enterprises looking to recruit their labor Iorce can use the services oI
headhunters; outsourcing agencies such as 104 Job Bank, 1111 Job Bank,
Boyden Global Executive Search; and the Bureau oI Employment and
Vocational Training, Council oI Labor AIIairs.
INVESTMENT
77 Doing Business with Taiwan
In addition to recruiting local staff, both local and foreign enterprises can
recruit expatriate staff through the HiRecruit Services managed by the
Department of Investment Services, MOEA. This is an effective two-way
job-matching system to connect foreign professional talent with Taiwans
industrial and research sectors.
As part of the promotion of the i-12 Projects and other national
development initiatives, the government has revised its immigration
regulations to encourage the active recruitment of foreign talent.
Professionals from abroad who wish to take advantage of the abundance
of opportunities offered by the countrys booming high-tech sector should
visit HiRecruit, which offers one-stop service, at
http://hirecruit.nat.gov.tw.
4.4-5 International Business Center
The Taipei World Trade Centers International Business Center, located
at the TWTC next to the landmark Taipei 101, offers fully-equipped
temporary office space to facilitate the process of setting up a new
business in Taiwan.
The rent Ior a 42-square-meter oIfce is only NT$18,000 per month Ior
the frst six months (tax included). AIter six months, the rent increases to
NT$30,000 per month (this special rate is subject to change). For more
information, please visit: http://www.twtc.com.tw.
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5.1 Accommodation
Signing a Lease
If dealing directly with a landlord, there are a number of points to
consider. First, it is advisable to determine the landlord's identity and to
make sure he is the owner of the house or is a tenant who can sublease
the premises. Ask the landlord to show his identity certifcate, premises
ownership statement, housing tax slip or transcript of real estate
registration. If the person is a tenant rather than the owner, request to see
the original lease to ensure the premises can be subleased.
Regarding the rent, ascertain the amount, how and when to pay, the
duration of the lease, and whether a deposit is required. Then, see what
furniture and equipment are included. If any items are not in good
condition, it is a good idea to take photos. Pet owners need to ensure their
83 Doing Business with Taiwan
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animals are permitted under the terms of the contract. Check for any other
restrictions.
If there are any shared areas, clarify their use. Understand who will pay
for utilities such as water, gas, and electricity. Determine if a parking
space is included or can be rented separately, if needed.
When signing the lease, both parties should make sure to obtain the
other party`s identifcation (a photocopy oI the ID card, passport or alien
resident certifcate). II there are any changes made to a prepared contract,
both sides should sign their names to the changes. After executing the
lease, each party keeps a copy.
Terms of Leases
The terms of a lease is generally one year, often with an option to extend.
Deposits vary from one to three months rental.
Commission Fee
If using a real estate agent to locate accommodation, then a commission
or brokerage service fee will be incurred. This is generally shared by the
landlord and tenant, with a typical split of one months rent paid by the
landlord and a half months rent paid by the tenant.
http://www.immigration.gov.tw
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5.2 Banking and Postal Services
Banking Services
The following information is provided by the Bankers Association of the
Republic of China. Detailed information is available at each bank.
Opening a Bank Account
To open a bank account, foreigners normally present a passport and an
alien resident certifcate. II not in possession oI an ARC, an application
can be made for an "Identity Number Basic Information Certificate" at
the nearest police station. In addition, the post oIfce also oIIers banking
services.
Bank Cards (ATM cards)
Financial Information Service Co. Ltd. operates Taiwans inter-bank
transaction system. Bank cards or ATM cards are therefore also referred
to as FISC cards. All banks and post oIfces issue these cards.
To apply for a bank card after opening a bank account, one would present
the passport used to open the account and sign the application.
The bank card can be used in automated teller machines to withdraw
cash and transfer funds. ATMs dispense cash in New Taiwan dollars in
denominations of hundreds or thousands. There are per-transaction and
daily limits on withdrawal amounts. The per-transaction limit at an ATM
owned by your bank is NT$30,000 and for an ATM owned by another
bank, it is NT$20,000. The daily limit is NT$100,000 at most banks.
In addition to cash withdrawals, bank cards also allow one to transfer
funds, such as for sending money to another individual or paying bills.
Such fund transfers are limited to NT$30,000 each unless the cardholder
has applied for a higher limit. The maximum amount is NT$2 million per
transfer, while the daily transfer limit is set by each bank.
85 Doing Business with Taiwan
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If a bank card is lost, the cardholder should report the loss immediately
in order to freeze the account. Banks generally provide 24-hour phone
service Ior this purpose. The customer would Iollow up by fling a written
report at the bank during oIfce hours and apply Ior a new card. The bank
may charge a fee for this.
Automatic Payment Services
Bank accounts can be used for automatic payment of utilities like
water, electricity, gas and telephone. Bank account holders would sign
the application and present a photocopy of a payment slip to set up the
service. After each time the bank automatically pays the fees for the
customer, the customer will receive a receipt from the utility company.
Electronic Banking Services
To apply for online electronic banking services that enable access to
up-to-date information and perform various transactions online, one
would present a passport and an ARC, or an Identity Number Basic
InIormation Certifcate, and then sign the application.
Foreign Exchange Services
Purchasing or selling a foreign currency requires the presentation of a
passport or ARC to a bank that is authorized to offer foreign exchange
services. Separate fees are charged for currency exchange, telegraphic
87 Doing Business with Taiwan
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transfers and drafts. More information on foreign exchange regulations is
available in Section 3.1.
Foreign Currency Deposits
Banks can also set up a foreign currency deposit bank account. The
procedures are the same as for opening a Taiwan currency account.
Foreign currency transactions are handled in the same way as outlined in
foreign exchange services above.
http://www.ba.org.tw
Postal Services
In Taiwan, postal services are provided by the government (Chunghwa
Post Co. Ltd.) and some private organizations. Convenience stores also
provide certain mailing services.
Hours
Post oIfces are generally open Irom 8 a.m. to 5 p.m., Monday to Friday.
Some locations have extended hours of service, and others are open on
weekends and holidays. Convenience stores offer a 24/7 service.
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Mailing Procedures
Put letters into a mailbox or take them to a convenience store, which will
then send the letters via a private courier service. Packages can be taken
to a post oIfce or a convenience store.
Related Information
Post oIfce service line: 0800-700-365
http://www.post.gov.tw
Courier Services
Several international courier and package delivery companies serve
Taiwan, including DHL, EVA Air Cargo Service, FedEx and UPS. EMS
(Express Mail Service) is also available Irom the post oIfce.
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Many local courier service companies provide courier services either
within or between certain urban areas, or over the whole island. For
domestic shipping services, there are companies like HCT Transportation
and T. Join Transportation.
Please check the following links for further information on shipping
service companies:
EMS: http://www.post.gov.tw
EVA Air Cargo Service: http://www.evaair.com
HCT Transportation: https://www.hct.com.tw
T. Join Transportation: http://www.tjoin.com.tw
5.3 Business Culture
Understanding the culture of Taiwan is one of the keys to developing
successful local business relationships. Paying attention to clothing,
customs and etiquette, gift-giving practices, and verbal and nonverbal
communication can go a long way to bridging the culture gap.
Clothing
A neat and clean appearance is favored.
While mens attire is changing to a
more informal style, conservative
dress is still preferred. A suit and
tie are still du jour for business
meetings. Women tend to dress
in a business suit with a coat
and skirt or perhaps a simple
skirt and blouse.
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Customs and Etiquette
Business hours are very similar to Western countries but may sometimes
be extended. It is best to meet face-to-face if possible in order to develop
the mutual respect that business relationships are built on. Have a good
supply of business cards for meetings and be sure to give and receive
them with both hands as a sign of respect.
Gift-giving
Gift-giving is common practice in business. Give and receive gifts
with both hands. Items with your company logo on them would be
appropriated. Food is another good choice. Gifts are not generally opened
in the givers presence. Avoid giving knives, umbrellas, clocks, scissors or
other cutting tools as they symbolize the breaking off of friendships.
Verbal and Nonverbal Communication
A simple nod of your head is a common greeting. Handshakes are also
common, but for a man meeting a woman, it might be best to wait for the
woman to offer her hand. A slight bow with hands at the sides is a good
way to show respect.
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5.4 Dining Out
A Food Paradise
It is diIfcult to overestimate the importance oI Chinese culinary culture.
In Taiwan, one is never far from a restaurant or snack shop. Banquets
are the favored way to celebrate social occasions, including business
gatherings. All of the great culinary traditions, both Chinese and foreign,
can be found here. In addition to traditional Chinese foods, there are also
numerous Chinese style fast-food chains.
Although Chinese food is available around the world, in Taiwan one can
enjoy all the different cuisines of China, authentically prepared. Chinese
regional culinary styles include those of Beijing, Shandong and Tianjin,
in the north and Guangdong, Hunan, Jiangsu, Sichuan, Taiwan and
Zhejiang in the south. Hakka-style food is also popular. Mouthwatering
dishes include roast duck, smoked chicken, lamb hotpot, fish in wine
sauce, beef with green peppers, scallop and turnip balls, camphor-tea
duck, salty fried chicken with spices, honey ham, stir-fried shrimp, dry-
fried eggplant, and spicy bean curd.
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Vegetarians are well served in Taiwan, given the Buddhist tradition of not
eating meat and the emphasis on well-being food nowadays. However,
vegetarian restaurants often serve dishes that look and taste just like meat
dishes. Hot pot (including medicinal hot pot) is a top choice, especially
in winter. As for local snacks, they offer a simple and convenient way to
explore native Taiwanese taste.
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If diners like to have a drink before or after the meal, there are plenty of
bars, pubs, and beer halls to choose from. Gourmet coffee shops have
sprung up all over, so one never has to go far for a good cup of java.
But tea is the drink of choice on the island and no dining experience is
complete without a cup of oolong.
Beijing Food
Here one can detect the inIluence oI Qing Dynasty (1644-1911) court
dishes, Muslim cuisine, and Mongolian tastes, resulting in a smorgasbord
of ways that Beijing food can be enjoyed. With a heavy emphasis on
cooking time and slicing techniques, Beijing chefs produce dishes with
tender textures, like Peking duck.
Cantonese Food
Cantonese cooking is meticulously prepared, with an exquisite
presentation and taste. There are a variety of cooking techniques, such as
frying, roasting, stir-frying, steaming and boiling.
Foreign Foods
Giving one even more dining options, foreign foods from all over the
world are available, including hamburgers, pizza, sushi, pigs knuckles,
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and fondue. Among the foreign cuisines represented in Taiwan are those
of France, Germany, India, Italy, Japan, Korea, Thailand and Vietnam. If
youre pressed for time, international fast food chains like Burger King,
KFC, McDonalds, Mosburger, Pizza Hut and Subway have numerous
outlets throughout the islands major cities.
Hakka Food
The Hakka people constitute one of the major ethnic groups in
Taiwan. Their cuisine includes many dried and pickled foods. Flavors
tend to be heavy. This cuisine features fried, spiced, well-done, salty
and fatty dishes.
Hunan Food
In common with Sichuan cuisine, many Hunanese dishes use large
amounts of chili pepper, making them very hot and spicy. Smoked meats
are one oI the most prominent Ieatures oI richly favored Hunanese Iare.
Jiangzhe Food
This tradition originated in the lower reaches of the Yangtze River and the
southeastern coastal areas of China. Because the many rivers and lakes in
this area produce rich harvests oI shrimp, crabs, eels, and fsh, Jiangzhe
cuisine is famous for its seafood. Today, Shanghainese dishes are the best-
known representative of this cuisine.
Sichuan Food
While best known for its spicy hot pots, the essence of Sichuan cooking is
transIorming common materials into dishes with uncommon favors.
Taiwanese Food
Taiwanese cooking emphasizes light, natural flavors and freshness.
A distinguishing feature of Taiwanese cuisine is the wide availability
95 Doing Business with Taiwan
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of tonic dishes that are prepared by using different types of medicinal
ingredients for the various seasons of the year.
http://www.taiwanbiztour.com.tw
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5.5 Education
In Taiwan there are many educational institutions for foreign residents:
Name Address Tel Web site
Taipei
American
School
800, Sec. 6
Jungshan N. Road
Shirlin District
Taipei, 11152
02-2873-9900 http://www.tas.edu.tw
Taipei
Korean
School
1, Lane 68
Chingnian Road
Wanghua District
Taipei, 10875
02-2303-9126
http://www.taipeikoes.
com
Dominican
Internationl
School
76 Daj Street
Jungshan District
Taipei, 10464
02-2533-8451
http://www.dishs.
tp.edu.tw
Taipei
Bethany
School
97, Sec. 3
Ting Chou Road
Taipei, 10090
02-2365-9691
http://bethany.mca.org.
tw
Taipei
Japanese
School
785, Sec. 6
Jungshan N. Road
Shirlin District
Taipei, 11155
02-2872-3801 http://www.taipeijs.org
Taipei
European
School
31 Jianye Road
Shrlin District
Taipei, 11193
02-2862-2920
http://www.
taipeieuropeanschool.
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Name Address Tel Web site
Yang
Ming Shan
Christian
School
64, Lane 80 Juangding
Road Shirlin District
Taipei, 11149
02-2861-6400 http://www.ymscs.com
Grace
Christian
Academy
67 Hsingdong Street
Taipei, 10590
02-2785-7233
http://www.gcataipei.
org
Hsinchu
International
School
212, Sec. 1
Yen-Pin Road
Hsinchu, 30056
03-526-7837
http://www.hdis.
hc.edu.tw
Hsinchu
American
School
2 Yih-shuh Road
National Art Park
Hsinchu, 30067
03-520-3211
http://www.has.hc.edu.
tw
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Name Address Tel Web site
Taichung
Japanese
School
33 Pinghonan Road
Taya Hsiang
Taichung County,
42879
04-2567-2079
http://tjs97.myweb.
hinet.net
American
School in
Taichung
21-1, Chu Yuan Lane
Pei-Tun
Taichung, 40661
04-2239-7532
http://www.ast.tc.edu.
tw/admission03-1.asp
Morrison
Christian
Academy
136-1 Shui Nan Road
Taichung, 40679
04-2292-1171 http://hs.mca.org.tw
Morrison
Academy-
Kaohsiung
42 Chiacheng Road
Dashe
Kaohsiung, 81546
07-356-1190
http://kaohsiung.mca.
org.tw/joomla
Kaohsiung
American
School
96 Fu-Teh 3rd Road
Kaohsiung, 80274
07-716-2270 http://www.kas.kh.edu.
tw
Kaohsiung
Japanese
School
18 Ho-Pei 1st Road
San-min District
Kaohsiung, 80753
07-224-6234
http://takaojs.
hihosting.hinet.net
Kaohsiung
Korean
School
43-2, 81 Alley
37 Lane
Gushan 2 Road
Kaohsiung, 80446
07-551-3918 n/a
Dominican
School
107 Chung Hua 1st
Road
Kaohsiung, 80455
07-552-3989 n/a
http://www.moe.gov.tw
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LIVING IN TAIWAN
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5.6 Medical
Health care in Taiwan is of an international standard, with many private
and public hospitals and clinics. The National Health Insurance Program
furnishes subsidized care for the majority of the population, including
expatriates holding local resident visas. High-quality dental care is also
available. Most doctors and dentists speak English and many have trained
abroad. While most doctors practice Western medicine, traditional-style
Chinese medicine is also popular, with treatment such as herbal medicine
and acupuncture commonly prescribed.
Virtually every foreign and domestic prescription and over-the-counter
drug is available in Taiwan. It is advisable for visitors, however, to bring
sufficient supplies of any special medications they require. Emergency
medical treatment can be obtained by dialing 119.
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Some hospitals have set up priority care programs with English-speaking
staff that bypass the normal waiting time to see a doctor but charge a
higher fee. Detailed information on such programs and on medical care
in general, can be found on the Web sites of some foreign representative
oIfces, such as the American Institute in Taiwan.
Medical Insurance
While medical expenses are generally much lower in Taiwan than in other
industrialized economies, it is important to have health insurance coverage
for both short and extended stays. All individuals employed in Taiwan,
along with their dependents, are covered by National Health Insurance
the premiums which are shared by the employer (60 percent), employee
(30 percent), and government (10 percent). Some companies, particularly
foreign multinationals, provide their employees with additional private
health insurance coverage. Employees are also covered by Taiwans
Labor Insurance Program, which includes retirement, disability, death,
and unemployment benefts.
For those who reside in Taiwan over an extended period and hold Alien
Resident Certificates, it is also possible to purchase coverage from a
domestic Taiwan insurance company. The costs are generally quite
moderate, but the scope of coverage may be different from that commonly
found in ones home country.
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5.7 National Holidays (2009)
Jan. 1 Founding of the Republic of China
Jan. 24-28
Chinese New Years Eve; 1st, 2nd and 3rd days
oI the frst month by lunar calendar
Feb. 28 Peace Memorial Day
April 4 Tomb Sweeping Day
May 28 Dragon Boat Festival
Oct. 3 Moon Festival
Oct. 10 Double Tenth National Day
For more information, please visit:
Central Personnel Administration: http://www.cpa.gov.tw
Government Agencies Holiday Overview: http://www.cpa.gov.tw
5.8 Practical Chinese
The following phrases are given in the pinyin Romanization. Some of
the more problematic pronunciations are as follows: ch, sh and r have the
tongue curled Iar back; i is pronounced like ee (but is not pronounced
aIter z-, c-, s-, zh, ch-, sh-, r-); c like ts; q- like ch; x- like sh; z- like ts or
ds; zh- like j. The four tone marks are represented by a mark placed on
top oI the syllable: (high level), (rising), ` (low Ialling then rising),
and (Ialling).
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Assistance
Help! [Ju mng.]
Please lend me your phone. [Ji y xi din ha.]
Would you take my/our picture? [Qng bang w zho xing
ho ma?]
Communications
Sorry. [Di b q.]
Please. [Qng.]
Thank you. [Xi xie.]
You are welcome. [B k q.]
Yes / No [Sh / B sh.]
I do not know. [W b zh do.]
Do you speak English? [N shuo yng y ma?]
Could you say that again? [Qng zi shuo y c.]
Medical
Is there a doctor that speaks English? [Yo hu shuo yng y
de y sheng ma?]
Is there a pharmacy nearby? [F jn yo yo jy ma?]
?
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Meeting others
Hello. [Hai.]
How are you? [N ho ma?]
I`m pleased to meet you. [Xng hu.]
My name is _____. [W sh_____.]
(Here is) my name card. [W de mng pin.]
Goodbye. [Zi jin.]
Restaurants
Please give me some water. [Qng gi w y xie shu.]
That was delicious. [Zh ge hn mi wi.]
What do you call this in Chinese? [Zh ge Zhong wn jio
shn me?]
Where is the restroom? [X sho jian zi n?]
Shopping
How much is it? [Zh ge duo sho qin?]
I will take this one. [W yo zh ge.]
Could I have a receipt, please? [Qng gi w fa piu.]
Transportation
How long does it take to get to _____.
[Q_____ yo duo ji?]
Where is the metro stop? [Je yn zhn zi n?]
Please take me to _____. [Qng di w du _____.]
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5.9 Public Safety
Emergency authorities contact information:
Police: 110
Fire: 119
Ambulance: 119
Dial 119 and then press 9 Ior emergency service or press 0 to make a
police report.
Foreign Affairs Service Station:
Tel: (02) 2556-6007 or (02) 2331-3561 ext. 3064, 3065
Fax: (02) 2555-4275
The aforementioned numbers are available 24/7.
http://www.npa.gov.tw
http://www.tcpd.gov.tw
http://www.kmph.gov.tw
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LIVING IN TAIWAN
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5.10 Telecommunication
Public phones in Taiwan use either coins or cards. For coin phones, the
user inserts coins in denominations oI NT$1, NT$5, and NT$10. Local
calls cost NT$1 per minute. Coin phones are generally being replaced by
card phones. Phone cards are in the form of magnetic strip stored value
cards and IC stored-value cards, which can be used all over Taiwan. Card
phones only accept one type of card. Magnetic strip cards are priced at
NT$100 each, and IC cards cost NT$200 or NT$300. The cards are sold
in railway stations, bus stations, scenic spots and convenience stores. For
making international calls, prepaid cards offer low rates and are available
Irom convenience stores and fxed-line providers.
When making local calls, it is unnecessary to dial the area code, but long-
distance calls require the area code (including the initial 0, such as 02 Ior
Taipei) must be dialed frst and then the number. International calls can be
made from private cell phones, public international direct dial phones, or
hotel IDD phones. International calls are charged in units of six seconds
or a minute.
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The procedure for making IDD calls from Taiwan is as follows:
1. Dial one oI Taiwan`s international access codes: 002, 009, 019, or
other, depending on the service provider.
2. Dial the country code (Ior example, 1 Ior the United States or 86 Ior
China).
3. Dial the area code.
4. Dial the other partys number. For operator-assisted international calls,
dial 100. For international information, call this toll-free number
0800-080-100.
For International Subscriber Dialing, reduced price periods are 10 p.m. to
8 a.m. daily, aIter 12 noon Saturday, all day Sunday till 8 a.m. Monday,
and all day on national holidays.
To make reverse charge or credit calls, dial 008 Iollowed by the country
code, as follows:
Australia 008-061-0061
Canada 008-012-0012
Germany 008-049-0049
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Hong Kong 008-085-2111
Italy 008-039-0039
Japan 008-81-0051
Malaysia 008-60-0060
Philippines 008-63-0063
Singapore 008-065-6565
South Korea 008-082-0082
United Kingdom 008-044-0044
United States 008-010-2880
To call a telephone number in Taiwan Irom overseas, one frst enter his
countrys international access code followed by Taiwans country code,
886, then enter the area code, omitting the initial 0 (such as 2 Ior Taipei),
Iollowed by the 8-digit Iixed-line telephone number or the 9-digit cell
phone number (omitting the initial 0 and beginning with 9).
Since almost everyone in Taiwan has a cell phone, public phones are
quickly disappearing. Visitors can bring a cell phone, but renting or
buying one locally is also an option. Taiwan uses the GSM 900MHz /
1800MHz standard. SIM cards can be purchased at convenience stores or
from mobile network operators.
Cell phone numbers are 10 digits beginning with 09. To dial a domestic
fixed-line telephone number from a cell phone, you must first enter the
area code (including 0, such as 02 Ior Taipei), Iollowed by the 8-digit
fxed-line number. To dial a domestic cell phone number, you just enter
the 10-digit number (which includes 0). To dial an international number,
you follow the same procedure as for fixed-line telephones described
above.
5.11 Transportation
Airports
Taiwan has three main international airports: Taiwan Taoyuan
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International Airport, Taipei Songshan Airport, and Kaohsiung
International Airport. In 2008, direct cross-strait fights between Taiwan
and China began, thereby making it unnecessary to transit via a third
country. There is now regular service on weekends and holidays to several
Chinese cities from all three airports, and there are plans to increase the
number of airports offering this service on both sides of the strait. In
addition to the three main international airports, there are several airports
serving domestic routes such as Hualien, Penghu and Taichung .
Taiwan Taoyuan International Airport
Taiwan Taoyuan International Airport handles the majority of Taiwans
i nt ernat i onal ai r passengers. It i s l ocat ed i n Taoyuan Count y
approximately 40 kilometers, or about 50 minutes by car or bus, Irom
downtown Taipei and has two terminals: Terminal 1 and the newly-built
Terminal 2.
Free shuttle-buses transport passengers between Terminals 1 and 2. The
shuttle-bus stops are located on the north side of the departure hall at
Terminal 1 and on the southeast side of the arrival area at Terminal 2. The
skytrain also runs between the two terminals every few minutes.
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There are frequent bus services from the airport to the major hotels in
Taipei City. An extension of the Taipei Rapid Transit System from Taipei
to the airport is planned for the future.
http://www.taoyuanairport.gov.tw
Taipei Songshan Airport
Taipei Songshan Airport is located very close to downtown Taipei in the
northern part of the city and serves mostly domestic routes. It has also
begun hosting direct fights to Shanghai. The Iacility`s close location to
the city center makes it convenient for business travellers.
Kaohsiung International Airport
Kaohsiung International Airport is the second busiest airport in Taiwan
and handles around 15 percent oI international passenger arrivals and
departures. The airport is about one-fifth the size of Taiwan Taoyuan
International Airport. It has two terminal buildings, domestic and
international. Plans have been announced for the domestic terminal
building`s reIurbishment, which is estimated to take fve years.
http://www.kia.gov.tw
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Taiwan High Speed Railway
The Taiwan High Speed Railway stretches along the west coast Ior 345
kilometers, with trains traveling at top speed oI 315 kilometers per hour.
Completed in 2006, the THSR now serves eight stations, which Irom
north to south are Taipei, Banciao, Taoyuan, Hsinchu, Taichung, Chiayi,
Tainan, and Zuoying. Four more stations are planned and will commence
operation in 2010. Traveling the entire length of the railway line between
Taipei and Kaohsiung takes only about 90 minutes.
The THSR provides two classes of service: standard and business. Both
classes boast safe and comfortable travel. Tickets can be purchased at
the station, booked online or over the phone. For more information on
schedules and fares, please visit:
http://www.thsrc.com.tw or call customer service: (02) 6626-8000.
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Train
The island wide railway network oIIers a convenient, eIfcient and cost-
effective service. Trains are divided into several classes, with higher
classes generally stopping at fewer stations, resulting in faster service.
Tze-chiang is the fastest and most expensive, Chu-kuang is the second
fastest and Fu-hsing is the third fastest. Electric and diesel trains are
used on short to medium distance commuter services, stopping at all
stations. Ordinary trains stop at all stations and have no air conditioning,
no assigned seating, but are the least expensive. Diesel express is only
available on the East Trunk Line and South Link Line, and mainly serves
as a commuter train. It has no air conditioning and tickets are the same
price as express and ordinary services.
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In addition, there are branch lines at slower speed for certain routes,
such as the Pingsi (Houdong, Taipei County-Jingtong, Taipei County),
Neiwan (Hsinchu City-Neiwan, Hsinchu County), and Jiji lines (Ershuei,
Changhua-Checheng, Nantou County). Train travel is one oI the Iavored
ways to fully enjoy the beautiful scenery in Taiwan. There are also several
special sightseeing trains along the east coast that allow the traveler to
disembark along the way to enjoy the sights.
For travel during one of Taiwans national holidays, tickets often sell out
very quickly. It is recommended to make reservations 14 days in advance.
Taiwan Railways Administration
http://service.tra.gov.tw
Service hot line
http://www.railway.gov.tw
Mass Rapid Transit
Taipei MRT
The Mass Rapid Transit system in Taipei currently has major five lines
and additional branch lines in operation. Besides serving commuters,
these lines also make it easy to visit a variety of attractions and scenic
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spots. Some of the tracks are underground in the downtown area but are
above ground away from the city center, offering commanding views of
the countryside. Fares start at NT$20.
Passengers should take note of the following:
Cellular phones are prohibited in the frst and last cabin oI the train.
Single-use tickets are valid only on the day of purchase. Stored value
cards (called EasyCards, which can also be used on Taipei buses) can
be purchased at stations and convenience stores.