(Submitted to the Executive Yuan on July 17, 2008; Implemented on August 1,
2008)
On August 1, 2008, the government raised the ceiling on Mainland-bound
investments (from 40% to 60%; no investment ceiling will be imposed on enterprises
that establish operations headquarters in Taiwan or on transnational enterprises).
Investment review procedures were also streamlined (i.e. Mainland-bound investments
with a capital amount of under US$1 million may be reported up to six months after
the investment has been made); and special case-by-case investment approval will
only be required if a project has an accumulated capital amount of more than US$50
million. The measure also establishes a review mechanism for key technology and
capital to maintain Taiwan's industrial competitiveness and advantages.
Benefits: These measures will increase the flexibility of enterprises
in their global and cross-strait business deployment, upgrade Taiwan's position
in the international and Asian regional economic and trade systems, and implement
the idea of "deeply cultivating Taiwan while linking up with the world."
Sources: