Editorial

Embracing new Taiwan-Japan opportunities

(CNA photos)

• Publication Date：09/01/2012
• Source： Taiwan Today

On Aug. 30, the latest ROC government-organized economic delegation wrapped up its five-day trip to Japan. Comprising high-level public and private sector representatives, the group succeeded in showcasing the island’s potential as a top-notch base for Japanese firms looking to establish backup manufacturing sites while partnering with local outfits to access the mainland Chinese and Asia-Pacific markets.

Led by Francis Kuo-hsin Liang, deputy minister of economic affairs, and advised by Vincent C. Siew, former ROC vice president, the group met with Japanese government officials such as Yukio Edano, minister of economics, Mitsuo Ohashi, chairman of the Japan Interchange Association, and Takeo Hiranuma, a parliament member who heads the Sunrise Party of Japan. In addition, they visited with representatives from a number of corporate heavyweights such as Fujitsu Ltd. and NEC Corp., as well as national trade organizations.

The focus of the talks was on creating joint ventures in cloud computing, cultural and creative industries, green energy and information and communications technology. Of equal importance, though, delegation members hammered home the message that Taiwan is open for business and the time is ripe for Japanese firms to capitalize on potential-laden business opportunities islandwide.

But this message is not exactly new. Siew has long championed the merits of Taiwan’s industrial structure and flexibility of its small and medium enterprises. He believes the two countries’ respective strengths in manufacturing and technology are a perfect fit and, with the assistance of the financial and consulting sectors, both sides can forge win-win outcomes on a game-changing scale.

One such example is the four-party machine tools investment agreement concluded Aug. 28 in Tokyo. Signed by Taipei City-headquartered Fair Friend Enterprise Group and Japan’s Citizen Machinery Miyano Co. Ltd., Marubeni Corp. and Waida Mfg. Co. Ltd., the pact will increase purchases of locally produced components and assist in upgrading the manufacturing nous of FFEG.

As the biggest deal to date involving Taiwan and Japan’s machine tool sectors, it stands as an irresistible model for future two-way industrial collaboration. Fair Friend’s international production chain and extensive mainland Chinese sales network combined with Citizen and Waida’s specialty products and niche market expertise will help unlock one of the world’s most lucrative markets on the other side of the strait.

Yet such large-scale collaboration is only possible as result of ROC government efforts to improve cross-strait relations and boost Taiwan-Japan exchanges. The Cross-Straits Economic Cooperation Framework Agreement (ECFA) has set the table for this healthy state of affairs, as has the Taipei-Tokyo investment protection and promotion arrangement, open skies agreement and patent prosecution highway program.

For Taiwan and Japan, bolstering their bilateral economic framework makes perfect sense and reflects the reality of Asia’s emergence as a global power center. Within this context, both sides can stimulate domestic growth and season the relationship with greater purpose—key factors in laying the foundation for further exchanges and embracing new opportunities.

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