TAIPEI (TVBS News) — Taiwan's Straits Exchange Foundation (SEF, 海基會), the semi-official organization handling cross-strait affairs in the absence of formal diplomatic relations, pledged on Friday (April 11) to bolster support for Taiwanese companies operating in China as they navigate the increasingly complex U.S.-China trade tensions. The foundation emphasized its ongoing efforts to monitor business conditions through its established networks while facilitating crucial communication channels between Taiwan's government and its corporate entities on the mainland.
During a background briefing on that afternoon, SEF Deputy Secretary-General Li Pao-wen (黎寶文) detailed the mounting challenges confronting Taiwanese enterprises caught in the crossfire of international trade disputes. Li explained that the foundation has intensified its intelligence-gathering operations, collecting critical feedback from affected businesses and channeling these insights to appropriate government agencies in Taiwan. This process, he noted, reinforces the foundation's essential function as an intermediary between public policy and private sector needs in the complex cross-strait economic relationship.
The deputy secretary-general identified a sustained downward trajectory in Taiwanese capital flowing into China, a pattern that began emerging as early as 2010. This investment retreat has accelerated significantly in recent years, first during former U.S. President Donald Trump's aggressive trade policies and subsequently through the global disruptions caused by the COVID-19 pandemic. In response to this shifting economic landscape, Li explained that the foundation has expanded its assistance programs for companies exploring operational relocation or diversification of their investment portfolios beyond the Chinese market.
To strengthen regional business networks, the foundation has organized numerous economic forums, trade exhibitions, and corporate delegations designed to connect China-based Taiwanese enterprises with counterparts throughout Asia, particularly through organizations like the "Asian Taiwanese Chambers of Commerce" (亞洲台灣商會聯合總會). These initiatives, which Li characterized as increasingly vital, provide practical pathways for companies contemplating operational transitions or seeking new investment destinations amid the evolving geopolitical tensions. The foundation's approach reflects a pragmatic recognition of the changing risk calculations facing Taiwanese businesses with significant mainland exposure. ★