By Anjali Sharma
WASHINGTON – The head of a leading Taipei-based economic institute said on Wednesday that Taiwan can substantially increase its exports to India in critical sectors, such as semiconductors, provided New Delhi can withstand pressure from China.
Taiwan said it is hopeful of inking a Free Trade Agreement with India modeled on the lines of the pact signed by New Delhi with the UK in July, to give an impetus to bilateral economic and technological cooperation, including in the critical semiconductor sector after US imposed 50% tariff on India.
Taiwan’s Deputy Trade Representative Yen Huai-shing told a group of visiting journalists from Indo-Pacific nations that ”We welcome any proposal for a comprehensive FTA between India and Taiwan like the one India signed with the UK recently…India has always been one of our focus countries under our New Southbound Policy initiative”.
She said that Taiwan is committed to the New Southbound Policy initiative, which is focused on enhancing cooperation and exchange with countries in Southeast Asia, South Asia, Australia, and New Zealand.
The NSP aims to diversify Taiwan’s economic and diplomatic relationships, reducing its reliance on any single market, particularly China.
Ms Yen said Taiwan is well aware of the fact that India wants to reduce its dependence on China for electronics products.
Taiwan, she said, is ready to help India. However, New Delhi needs to offer more incentives to Taiwanese businesses.
Her comments came close on the heels of Taiwan Foreign Minister Lin Chia-lung stated that an FTA between India and Taiwan will enable the two nations to enter into a comprehensive economic partnership and help them meet the challenge posed by the tariffs announced by President Donald Trump.
Taipei-based economic institute said that Taiwan can substantially increase its exports to India in critical sectors, such as semiconductors, provided New Delhi can withstand pressure from China.
Prof. Liu Da-Nien, Director of the Chung-Hua Institute for Economic Research, said ”India is very strong in software while Taiwan is strong in the hardware industry, particularly in semiconductor manufacturing…we can be strong partners provided India can withstand pressure from China.”
Ms Yen said Taiwan is well aware of the fact that India wants to reduce its dependence on China for electronics products. Taiwan, she said, is ready to help India.
New Delhi needs to offer more incentives to Taiwanese businesses.
”India has always been one of our key targets under the New Sound bound Policy, but you must also provide more incentives to Taiwanese companies,” she said.
Taiwan’s Labour Minister Hung Sun-han said his country plans to employ more Indian workers as it faces deepening labour shortages driven by an aging population and a shrinking birth rate.
He said that Taiwan is expanding recruitment of foreign workers while strengthening protections and integration programs to ensure they are treated fairly and welcomed into society.
Mr. Hung noted that currently about 3,200 white-collar Indian workers are employed in Taiwan, mainly in the IT sector and research institutions.
“Our economy is growing, but our workforce is not. We must rely more on migrant labour, and at the same time we must ensure their rights, safety, and dignity as members of our society,” he added.
