Taiwan’s approved FDI drops more than 40% from January to May
Taipei, June 22 (CNA) Foreign direct investment approved by the Taiwanese government fell more than 40% in the first five months of 2021, compared to the previous year, according to the Investment Commission.
The sharp drop in approved FDI reflects the uncertainty surrounding the economy, amid an outbreak of national COVID-19 cases in Taiwan, and a relatively high baseline compared to the same period last year, said the commission declared on Monday.
According to commission data, the country’s FDI in the first five months of 2021 totaled $ 1.99 billion, down 41.92% from the previous year, while the number of applications approved by foreign investors fell 24.74% year-on-year to 1,080.
The baseline for the first five months of 2020 was higher, the commission said, citing the $ 800 million investment pledged by Orsted Wind Power TW Holding A / S and Greater Changhua Offshore Wind Farm SW in the development. offshore wind farm, US $ 400 million by Diodes Taiwan SA RL and US $ 270 million by Kioxia Corp.
Despite the decline in FDI approved in the first five months of 2021, approved investments from countries listed in Taiwan’s new policy to the south increased 66.01% from the previous year to 8.57 billion NT dollars ($ 306 million), most of it from companies in Thailand. , Singapore and Australia, the commission said.
The new southerly policy aims to strengthen economic ties with the Association of Southeast Asian Nations (ASEAN) member states, India, Australia and New Zealand, in the aim to reduce Taiwan’s dependence on China.
The commission said the value of China’s investment requests approved by the Taiwanese government stood at NT $ 545 million between January and May of this year, down 61.66 percent from the year-on-year. previous.
The decline largely reflects a relatively high baseline over the same period last year, the commission said, adding that since Taiwan lifted the ban on Chinese investment in June 2009, it has approved 72, NT $ 88 billion in funds from China.
Meanwhile, in the first five months of 2021, the value of approved overseas investments from Taiwan fell 47.66 percent from the previous year to NT $ 51.07 billion, the report said. commission.
During this period, the value of Taiwanese approved investments in China plunged 59.29% from the previous year to NT $ 32.6 billion, according to the commission.