Bilateral Investments Between Europe and Taiwan
(Source: Ministry of Economic
Affairs)
European Union Investments
The ROC government approved 1,099 European investment projects totaling US$5.63
billion between 1952 and February 2001, thereby making Europe the third largest
investment partner after the United States (US$10.98 billion) and Japan (US$9.47
billion).
Major investors, ranked in the order of investment value, included the United
Kingdom, the Netherlands, Germany, Switzerland, and France. The Netherlands'
Philips, Germany's Siemens and Chemetall, and France's Dassault and Alcatel
were among the largest European investors. Investments, ranked by value, were
concentrated primarily in Taiwan's chemical, electronics, electric appliance,
banking, insurance, metal products, machinery equipment, and international trade
sectors.
Taiwan Investments
Between 1952 and February 2001, Taiwan made 364 investments in Europe, totaling
US$790.5 million, primarily in the United Kingdom, the Netherlands, Germany,
France, and Switzerland. The major investment areas included electronics and
electric products, transportation equipment, textiles, banking, and insurance.
As of June 1999, 594 Taiwan companies, including Acer Sertek, Chunghua Picture
Tube, Ta Ying Petrochemical, Ho Tai Pharmaceutical, and Behavior Tech Computer
had invested US$1.11 billion in Europe. The United Kingdom was Europe's largest
recipient of Taiwan manufacturing investments, while the Netherlands was the
first choice for establishing a marketing base.
| Table VI. Taiwan Investments in Europe (1952 - February 2001) |
| Country/Areas |
Number of Investments |
Percentage of Total Investments |
Amount Approved in US$ Thousand |
Percentage of Investments Based on Dollar Amount |
| United Kingdom |
109 |
1.55 |
370,190 |
1.34 |
| Germany |
85 |
1.21 |
88,772 |
0.32 |
| France |
28 |
0.40 |
23,037 |
0.08 |
| Netherlands |
76 |
1.08 |
95,605 |
0.35 |
| Switzerland |
9 |
0.13 |
2,977 |
0.01 |
| Other Areas |
57 |
0.81 |
208,917 |
0.75 |
| Source: Investment Commission, Ministry
of Economic Affairs, Republic of China |
Prospects of Bilateral Investment
The European Union formally adopted the single European currency on January
1, 1999, and the euro is expected to replace national currencies by 2003.
The era of the euro will completely change the current financial situation and
transform European industry. Europe's industries are modernizing to reduce high
operational costs, heavy debts, and lack of focus. The result will be stronger,
sophisticated, and more competitive enterprises with superior advantages.
Europe's various industries will meet world competition by expanding into large-scale
operations through strategic alliances and mergers. Taiwan's business sector
should appropriately strengthen the collection and review of technological resources
in such competitive European sectors as electronic communications, chemicals,
electronics, precision instruments, and garments.
It should also formulate comprehensive plans for strategic alliances and cooperation
before seeking business partners in Europe. Strategic alliances with European
companies will assist Taiwan in technology transfers, joint research projects,
and joint marketing, and thereby strengthening substantive bilateral economic
and trade relations.
| Table VII. European Investments in Taiwan (1952 - February 2001) |
| Country/Areas |
Number of Investments |
Percentage of Total Investments |
Amount Approved in US$ Thousand |
Percentage of Investments Based on Dollar Amount |
| United Kingdom |
221 |
1.74 |
1,795,123 |
3.95 |
| Germany |
193 |
1.52 |
621,649 |
1.37 |
| France |
86 |
0.68 |
210,743 |
0.46 |
| Netherlands |
183 |
1.44 |
1,693,608 |
3.72 |
| Switzerland |
121 |
0.95 |
395,177 |
0.87 |
| Other Areas |
295 |
2.32 |
915,830 |
2.01 |
| Source: Investment Commission, Ministry
of Economic Affairs, Republic of China |
