TAIPEI (TVBS News) — Taiwanese seeking opportunities in China face growing challenges, leading some to repatriate while others opt to stay. These challenges stemmed from the U.S.-China trade war, the COVID-19 pandemic, and China's economic downturn.
Statistics show a growing trend of Taiwanese businesspeople returning home with assistance from the Straits Exchange Foundation (SEF). The numbers have risen steadily, reaching 44, 62, 67, and 87 individuals from 2019 to 2022. In Q1 and Q2 of 2023, 56 have already returned, potentially setting a new record.
Explaining reasons why some opt to reside in China despite business setbacks, Hsu Cheng-wen, executive director of the Association of Taiwan Investment Enterprises on the Mainland, mentioned, "It becomes harder for them to deal with business failures and face family and relatives in Taiwan as they age."
"Only when they are hospitalized as a national without household registration, with an expired passport, will they seek assistance through the Straits Exchange Foundation," Hsu noted.
Despite facing challenges in career development, some Taiwanese, having lived in China for an extended period, still choose to stay there due to higher costs and challenges they may encounter after moving back to Taiwan.
Experts observed that some Taiwanese had to work at local restaurants for a monthly wage of NT＄22,000 after they lost their businesses in China. The younger generations would decide to explore business opportunities in Europe and the United States instead.
However, scholars analyzed the reasons Taiwanese face hardship when seeking better opportunities in China. They found that it is likely because the advantages previously enjoyed by Taiwanese businesspeople and youth have diminished.
Hsu shared that Taiwanese businessmen entered China in phases, "with the initial wave comprising manufacturing and electronic sectors because China was experiencing rapid growth at that time and high demand for these industries."
"However, in the later stages, these Taiwanese businesses slowly lose competitiveness over Chinese enterprises," Hsu explained.
The hard truth implied by the statistics is that Taiwanese youth and businesspeople are no longer competitive against their Chinese counterparts, as the economic and political development has changed in both places over the past years.