Firms face risk in lack of PRC investment protection

Chen said the number of business disputes between Taiwan enterprises and their Chinese partners by the semi-official Straits Exchange Foundation amounted to 201 in the first eight months of this year.

Chen made the remarks when speaking at a seminar co-sponsored by the Central News Agency, the China affairs studies institute of Tamkang University and Fuhsing Radio on the present situation and challenges of Taiwanese businessmen in China.

The MAC head said Taiwanese enterprises cannot expect their interests to be safeguarded only by unilateral measures taken by Chinese authorities. Instead, cross-strait negotiations are badly needed for both sides to sign pacts for protecting the investment interests and safety of Taiwanese investors in China.

The government is aggressively promoting the transformation and upgrading of local industries, improve overall investment climate and offer proper incentives to encourage Taiwanese investors in China to return to make domestic investments, Chen continued.

On another front, Chen also noted that Beijing’s pressuring of Taiwanese businessmen in China to reveal their political attitudes will only lead to growing resentment among the Taiwanese people.

According to Chen, Beijing has constantly stepped up its pressure on Taiwanese business people operating in China, forcing them to make clear their political stance as a means of containing pro-Taiwan independence sentiments.

To deal with those in favor of Taiwan independence, Chinese communists often resort to pretexts such as cracking down on tax evasion or applying extremely stringent customs inspections to make pro-Taiwan independence business people afraid of openly lending support to “Taiwan-centric” polices adopted by the government, Chen said.

Worst yet, China is even leveraging the business interests of Taiwanese enterprises and their workers’ personal safety to compel businessmen to pronounce anti-Taiwan independence statements in line with its united front tactics, he went on.

The chairmen of nine Taiwan business people’s associations, for instance, recently issued public declarations opposing the government’s plan to hold a DPP-backed referendum to pursue U.N. membership under the name of Taiwan and another planned referendum, initiated by the main opposition Kuomintang, to re-join the world body under the official title of the Republic of China.

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