THE SYMPOSIUM ON ASEAN-TAIWAN ECONOMIC RELATIONS

In November 2008, the Center for Asia-Pacific Area Studies of Academia Sinica, Taiwan, the ASEAN Studies Centre of the Institute of Southeast Asian Studies, Singapore, and the Taiwan Institute of Economic Research organized a symposium in Taipei. The symposium addressed the unique situation in which Taiwan companies had an active presence in Southeast Asian countries, while political factors prevent government frameworks concluded between Taiwan and the Association of Southeast Asian Nations (ASEAN) from placing the economic interaction between Taiwan companies and ASEAN members in a political and policy context. Those factors also keep official protection from being extended specifically to Taiwanese investments in Southeast Asia.

The symposium noted the rapid rise of Taiwan's trade with and investments in the ASEAN countries and their spread among a larger number of those countries, particularly since the appreciation of the New Taiwan dollar in 1987. Taiwan investments have been attracted by the relatively low wages prevailing in most ASEAN countries and by the rich resources there. ASEAN countries have also been found to be receptive to foreign direct investments and their economies oriented towards exports.

Obstacles, however, were also pointed out — infrastructure deficiencies, macro-economic problems like inflation, difficulties with labour, and cultural differences, including attitudes towards work.

The symposium heard a presentation of the results of a survey of the personal concerns of Taishang (overseas Taiwanese business people), in the ASEAN countries. These included education for their children and healthcare for their families. The Taishang also had trouble establishing and obtaining credit in the ASEAN countries, leading to a proposal for a regional credit bureau.

An analysis presented at the symposium found that including Taiwan in the free trade area schemes in ASEAN+3 and between ASEAN and China would theoretically yield benefits for all. Although this was not, for political reasons, possible at this time, Taiwanese businesses could do much to improve and expand the business environment in ASEAN countries for their own benefit. ASEAN countries were committed to integrating the regional economy.