Taiwan has ‘enormous appetite’ to expand ties with India: Taiwanese Foreign Minister Wu

Taiwan has an “enormous appetite” to expand ties with India and firming up the proposed free trade agreement between the two sides will be a “big encouragement” for Taiwanese companies Taiwan’s Foreign Minister has said

Taiwan has an "enormous appetite" to expand ties with India and firming up the proposed free trade agreement between the two sides will be a "big encouragement" for Taiwanese companies to set up manufacturing bases in India, Taiwan's Foreign Minister Jaushieh Joseph Wu has said.

Mr. Wu said Taiwan has been encouraging its companies that no longer find the Chinese market profitable to shift their production facilities to India as it is now a "rising power" and has been witnessing rapid economic growth.

In an interaction with an international media group, he said an FTA between India and Taiwan will remove barriers to greater trade and investment ties and it will help Taiwanese companies to set up manufacturing hubs without paying high tariffs for various equipment and raw materials.

Taiwan produces over close to 70% of the world's semiconductors and over 90% of the most advanced chips that are required for almost all electronic equipment such as smartphones, car components, data centres, fighter jets and AI technologies.

India has been very keen on having a manufacturing facility for Taiwan Semiconductor Manufacturing Corporation (TSMC), the world's largest chipmaker whose clients included Apple.

The Taiwanese Foreign Minister said Taipei has conveyed to New Delhi that the time has come for launching the FTA negotiations. The two sides have already conducted studies for the FTA and held preliminary discussions for the pact.

The FTA will be a "big encouragement" for our companies to set up manufacturing bases in India as the trade pact would provide relief on tariffs on various aspects including on bringing various equipment and related materials to the country, Wu said.