SPONSORED SECTION Produced by: Global Media Inc. TAIWAN

No Sm a l l Is l a n d or a country that occupies just over 13,000 square kilometers, Taiwan’s geographical size belies its economic clout and political importance in Asia and the rest of the world. FTogether with Singapore, South Korea and Hong Kong, Taiwan was among the so-called Asian Tigers that impressed the world with their rapid industrialization in less than a gen- eration following the devastation of the Second World War.

From an agricultural economy harmonize its international trade So, while staying faithful to its ready standing on very strong eco- with a per-capita gross national strategy more diligently with its autonomous identity, Taipei has nomic fundamentals, to emerge product of only $170 in the 1960s, foreign policy to ensure that its de also opted to be less confronta- from the 2008 global economic Taiwan catapulted itself from facto allies and trade or partners tional about it and be more prag- slump virtually unscathed and re- the ranks of the underdeveloped can conduct their business with matic in dealing with its much sume its dynamic performance countries in Africa to a hotbed of Beijing effectively. larger, fast-growing neighbor soon after. pioneering technology in the 21st In recent years, Taiwan appears across the Straits. And Beijing ap- The numbers provide a clearer century. It now boasts a per-capita to have struck that optimum bal- pears to have adopted the same picture of Taiwan’s economic GDP of over $35,000. ance in this increasingly integrated attitude. strength, as well as of its improv- Because of its contentious po- world, wherein hard dogma has Clearly, that accommodation in ing and more integrated relations litical status, Taipei, perhaps like had to occasionally accommodate diplomacy has allowed Taiwan, al- with China. no other government, has had to practical realities. CONTINUED ON BACK PAGE Global Media Inc. / [email protected] SPONSORED SECTION No small island While the global economy recov- With the United States, Taiwan ered in 2009 and posted an aver- entered into talks for a Trade and age gross domestic product (GDP) Investment Framework Agreement TAIWAN growth of 5 percent, Taiwan’s GDP or TIFA. Negotiations have stalled surged 10.82 percent, its highest the past three years but both sides level in 24 years, on the back of remain determined to finalize a stronger exports and more robust free trade agreement (FTA). domestic demand. And unemploy- “We would like to have an FTA ment has sunk to a 30-year low. with the United States. I know that But because of its very limited it is not very easy at this stage, but domestic market, Taiwan has- pri the importance is evident. There is oritized overseas trade relations, going to be an FTA with Korea, the especially with neighboring China European Union, and ASEAN+1. But and long-standing partner the this is not enough. This is only one United States. step,” said Foreign Minister Yang A watershed in cross-Strait rela- Chin-Tien. tions, the Economic Cooperation “If we do not have a similar ar- Framework Agreement, or ECFA, rangement with the United States, Once Asia’s tallest building, the Taipei 101 still embodies all the economic was signed by Taipei and Beijing Taiwan will be in a very disadvanta- and technological achievments of Taiwan in the past several years. in 2010 and designed to reduce geous position. We will not be able The ambitious plan involves International Airport’s Terminal 1 eliminate tariff and trade barriers to compete with say, Korean prod- the construction of new roads, and 2. With the completion of the between the two sides. ucts,” the foreign minister added. high-speed rail links, airports, and improvements next year, the facil- Currently, mainland China is Tai- seaports, with some projects fall- ity will raise its current annual ca- wan’s largest export market, fol- Home improvement ing under a build-operate-transfer pacity from 32 million passengers lowed by Hong Kong, and bilateral While looking further afield scheme open to international capi- to 37 million by 2012, and to 45 trade is estimated at $110 billion. to improve trade relations with tal. million by 2018 with the opening of Because about 42 percent of its its neighbors, Taiwan has also “The Ministry of Transport and a third terminal, according to Yeh. goods go across the Straits, the launched a multibillion dollar in- Communications has a special mis- The so-called 18,000-hectare Taiwanese government headed by frastructure program that is aimed sion. Because Taiwan is an island, it “aerotropolis” in Taoyuan will con- President Ma Ying-Jeou has recog- at improving the quality of life, at- is very important to have good air tain hotels, convention centers and nized the need to diversify its ex- tracting more foreign investment, and sea transport networks,” said free trade zones, which play a vital port markets if it wants to remain and making the country an the Deputy Minister Yeh Kuang-Shih. role in the country’s economic de- globally competitive in the long most dynamic trade and transport One of the ministry’s major proj- velopment program. run. hub in Asia. ects is the renovation of Taoyuan Outside of Taoyung, the gov-

profits last year. Financial Holding has staked its future growth Home-grown While banking giants around the world on its business with mainland China. struggled to get back in the black, so to speak, Fubon Financial Holding owns Taipei Fubon Mega ICBC posted a 2.44 percent increase in Bank as well as the country’s second-largest its pretax income last year. life insurance company and the largest gen- banks look across A product of a merger of the International eral insurance, property, and casualty insur- Commercial Bank of China and Chiao Tung ance company. Bank in 2006, Mega ICBC has grown to be- Meanwhile, its securities company has se- the Straits come one of the country’s largest financial cured the third-largest market share. groups, with 107 local branches, 19 overseas “China remains our main strategic focus. Amid efforts to internationalize its trade branches, and 3 representative offices abroad. We have an investment in Xiamen through further, Taiwan has not neglected the impor- As of 2010, the multi-awarded bank had Fubon Bank Hong Kong, which was the first tance of keeping its domestic economy stable assets of just over $85 billion dollars. Only Taiwanese bank set up in Hong Kong,” said and making it attractive to potential foreign fourth in size, Mega ICBC, however, emerged President Victor Kung. investors. at the top of the industry in terms of profits. “We also established a general insurance Among the key pillars that kept the Taiwan- “Our relentless goal is always to be the company in China, which is also headquar- ese economy strong during the deep and pro- number one bank in Taiwan through steady tered in Xiamen. In life insurance, we signed tracted recession from 2007 to 2008 was its and not volatile growth. We’d like to increase a contract with Nanjing Zijin Investment, and stable financial sector and banking industry. our international side,” said Chairman Tsai expect to be awarded a life insurance license “Our financial structure has been in a stable Yeou-Tsair. later this year or early next,” Kung added. position because we follow our own regula- “Our bank’s specialty is international trade. For the Fubon group, Taiwan possesses a tions. In fact, we have a surplus in our current If a foreign company wants to come to Taiwan, competitive edge over other regional players account every year,” stressed Finance Minister we have very good connections for them. We when it comes to business in mainland China. Lee Sush-Der. can advise them, and they can use our net- “We have a certain lead in customer service To make the local economy more attractive work. We have a deep knowledge of industry on the retail side, as well as on small and me- to international capital, the government of over the past 60 years,” Tsai added. dium banking. So these are the areas that we President Ma Ying-Jeou nstituted drastic tax To remain competitive globally, Mega ICBC could really contribute to the Chinese banking cuts. is further expanding its operations in China sector,” said Kung. “We did a lot of tax reform. After 30 years, this year and in the Middle East. “We already have a lot of Taiwanese clients our flat rate was lowered to just 10 percent. “We signed cooperation agreements with who are very familiar with mainland China. So, a lot of money is coming back already. Bank of China and Bank of Communication in Through their relationship with us, we can Corporate income tax was also lowered from the first quarter of 2011. But we are not ruling serve as an intermediary—in introducing new 25 percent to 17 percent for all businesses,” out the possibility of forming an alliance with foreign parties to them, helping foreign par- said Lee. other leading Chinese banks,” said Tsai. ties enter mainland China through our clients, In the wake of those new measures, the “Our bank may also be a good bridge for as well as introducing them to potential Tai- banking sector has experienced a resurgence foreign banks and other institutions to get wanese joint venture partners operating in of activity, with Taipei-based Mega Interna- into China,” he also said. China, with us playing the part of corporate tional Commercial Bank reporting impressive Like all players in the local industry, Fubon financier and adviser,” he added. SPONSORED SECTION Global Media Inc. / [email protected] ernment also operates free trade verse profile of pioneering and its meteoric rise as an economic ponents. zones around the seaports of Tai- well performing industrial sectors, powerhouse and in its continued “Last year, we received vendor pei, , Keelung, and Taic- which has kept the country highly strength, even in the midst of re- awards from HP, Sony, Fujitsu, Black hung. attractive to foreign investors. cessions. & Decker, and Pegatron Corpora- TAIWAN “Geographically, Taiwan has a “Taiwan has several advantages. In fact, a World Bank study tion,” said Chairman and Founder strategic location in the center of We are so strong in industrial clus- named Taiwan the top knowledge- Bruce Cheng. East Asia, at the heart of Asia. We ters. We are also rich in financial based economy in Asia, and ac- Delta Electronics was also the need to leverage our close affinity capital. We also have a very tal- cording to National Science Coun- only Taiwanese company to make with China, so that businesspeople ented workforce,” said Economic cil Minister Lee Lou-Chuang, the to CNBC European Business maga- can go to China from Taiwan and Affairs Minister Shih Yen-Shiang. country holds a 28 percent global zine’s list of the Global Top 100 set up their business operations in “In the last 20 years, we have market share in ICT design. Low-Carbon Pioneers. In 2010, it Taiwan, making use of ECFA,” Yeh shifted from excelling in OEM The National Science Council received Ernst & Young’s Entrepre- said. to ODM. We now have a lot of supervises the Biomedical Park, neur of the Year and CSR Entre- “Another opportunity is the strength in design, and I have , Jhunan Park, preneur awards, as well as CNBC’s Taoyuan High Speed Rail station, strong confidence that Taiwan will , Longtan “China Business Leader of the Year where we have 22 hectares that go into the own-brand business in Park, Science Park, Tongluo Award. we would like someone to develop ten years. The Chinese market is Park, and Yilan Park. With such strengths, it is not into an industrial zone, focused on growing so fast. The local market is Determined to stay at the eco- huge surprise why Taiwan has re- medical tourism,” he added. also growing. That is the basis for nomic forefront, it has launched mained one of the world’s most Because of its geographical building the own-brand business,” programs in agricultural biotech- stable economies and a preferred closeness to mainland China and its Shih added. nology, telecommunications, bio- investment destination. strength in various high-tech sec- technology and pharmaceuticals, And that combination of prag- tors, Taiwan has been promoting Science of growth, disaster reduction, energy, genomic matism, financial strength, and itself as the ideal springboard to growth of science medicine, nanoscience and nano- technological knowhow will keep enter the massive and potentially One of the most common asso- technology, e-learning and digital continue yielding bright forecasts lucrative Chinese market for Ameri- ciations to Taiwan’s brand has been archiving, and semiconductors and and positive results can and other foreign companies its sterling reputation in science integrated circuits. “We are bullish on the overall unfamiliar with its culture. and technology, whether it is in IT, Celebrating its fortieth year, the economic growth of Taiwan. We For many years, Taiwan has con- biosciences, or green energy. Taiwan-based Delta Electronics has are still bullish on the technology solidated its reputation as a hotbed Ensuring that Taiwan does not grown from a 15-man operation to industry. We’ve got some winners of new technology, whether it was lose that competitive edge is the one of the world’s largest providers in Taiwan, who are nearly impos- in manufacturing in the 1980s, in- National Science Council, the main of power, networking, and wireless sible to dethrone. In the rapidly formation technology in the 1990s, government agency in charge of solutions. maturing tech industry, Taiwan has biotechnology in the 2000s, and in promoting and funding science re- Boasting an enviable list of cli- carved out a very strong position. green technology in the present search in the country. ents, the multi-awarded company And that will continue,” said Bill decade. The government strategy to set also manufactures visual displays, Wiseman, chairman of the Ameri- Today, the Taiwanese economy up science parks and industrial as well as IT, telecom, consumer can Chamber of Commerce in Tai- boasts an impressive, highly di- clusters was undeniably vital in and automotive electronics com- pei. Global Media Inc. / [email protected] SPONSORED SECTION Taiwanese Education demic Ranking of World Universities for 2010, international university in order to become the while its engineering department was ranked 32 most distinctive Catholic university in the Great- and 47 respectively in those same surveys. er China Area,” said Vice President Dr. Lucia S. “If you look at a list of the top one hundred Lin. An overlooked high-tech companies in the world over the past Highlighting FJU’s reputation is its medical ten years, around twenty companies will be school, which has risen quickly to the top, pri- from Taiwan, and about 60 percent of those marily due to its style of instruction. TAIWAN world champion were started by NCTU alumni,” boasted Dr. “Our medical school has now graduated three Shang H. Hsu, dean of the Office of International classes and one of our graduates received the Affairs of NCTU. top score in the national exam. This is due to NCTU has attracted many students because of the pedagogy that we use to educate our medi- its close connection to private industry. cal students. We use a comprehensive system “To attract more incoming students from top of problem-based learning. We ask students to universities in the United States, we hold two- learn collaboratively and from their first year month international summer programs that onwards, we divide them into small groups, with include Chinese language and culture courses each assigned to a tutor who is an MD. It is quite and, most importantly, internships with local costly, but we invest in our programs,” said Lin. high tech companies in Hsinchu Science-Based In an economy once known for its strength in Park,” Hsu said. original equipment manufacturing, and now dis- “We want to increase the number of stu- playing a new strength in original design manu- The National Sun Yat-sen University in Kaohsiung is dents that come here from the United States. facturing, FJU has built up an expertise in fash- another of Taiwan’s most prestigious schools. We would like more first- and second-tier U.S. ion and design. In fact, the university will soon Although Taiwan’s economic miracle has been universities to send more engineering students launch an all-English-language bachelor’s degree well documented, the primary reason for its over as our engineering education is compara- in Asian brand and fashion management. present-day leadership in technology and entre- ble to U.S. quality,” Hsu added. To date, FJU has 180 affiliated schools from preneurship has often been underreported. The NCTU has also been one of the Taiwanese 34 countries, including 58 from the United country boasts world-class higher education. universities selected for partnerships by foreign States. This includes the development of six Higher education has been a cornerstone of companies, such as Corning, Intel, IBM, and Mi- dual-degree programs with American universi- Taiwan’s future growth, development, and em- crosoft. ties, including Temple University, the University ployment. More than 60 percent of Taiwanese “These companies establish research labs on of San Francisco, and Texas A&M International has received higher education, putting the coun- campus. These industry-leading companies have University. try at number five in tertiary enrollment in the a lot of new ideas but do not know if they are Unique to the university, FJU has a triple de- 2009 World Economic Forum Global Competi- feasible. We do the feasibility studies and share gree, the Joint Master of Global Entrepreneur- tiveness Report, which ranked Taiwan sixth out the intellectual property because Taiwan prob- ship and Management, with the University of of 133 countries in the category of innovation. ably has the top and largest intellectual prop- San Francisco and Universitat Ramon Llull of Also, the 2010 Times Higher Education–QS erty office in Taiwan,” explained Vice President Spain. World University Rankings placed nine Taiwan- Dr. Jason Yi-Bing Lin. At the end of the one-year, nonstop course, ese universities in the top 500, with National “We also collaborate with U.S. companies which involves a term in each of the schools, Taiwan University figuring in the top 100. and bring their technology into Taiwan through students get master’s degrees from all three In the same year, a survey of Essential Science a domestic company. For example, we recently universities. Indicators (ESI) had five Taiwanese universities worked with Telcordia. Once the collaborative But Taiwan is not resting on its current educa- in the top 1 percent of the world’s research in- research was completed, we approached Tai- tional achievements. With an aging population, stitutions in sixteen of twenty-one specialized wan’s largest telecom, Chunghwa Telecom, to overcrowding in its universities, and a low birth fields of study. see if they had any interest in using the technol- rate, Taiwan realizes that the future of its higher One of those Taiwanese universities was the ogy,” Lin added. learning enrollment is growing more dependent Hsinchu-based National Chiao Tung Univer- Another of Taiwan’s reputable schools is Fu on the international students it attracts. This is sity (NCTU). Founded in 1958, NCTU set up the Jen Catholic University (FJU), located on the out- the reason forty-seven universities have entered country’s first semiconductor laboratory, which skirts of the capital, Taipei. into joint or dual-degree partnerships with in- spurred that economic miracle. Today, the FJU has eleven colleges and 26,000 students, ternational counterparts. school is a research-oriented comprehensive and its college of management was the very first According to Dr. Tsong-Ming Lin, political dep- university with nine colleges and 13,000 stu- in the greater China area to receive AACSB ac- uty minister of education, “We have to interna- dents, 7,000 of which are graduate students. creditation in 2005 and was included in the top tionalize. International students currently make NCTU specializes in engineering, semiconduc- five percent business schools in the world. up about 3.3 percent of the student population, tors, photonics, ICT, and computer science. Its AACSB accrediation was renewed in 2010. or about 44,000. We want to promote Taiwan- Its computer science department placed thir- “Fu Jen is a Catholic university that combines ese schools more and want to increase that ty-second in the ESI survey and came in at num- Chinese and Western cultures. We are commit- number by 10 percent yearly to around 130,000 ber 35 in Shanghai Jiao Tong University’s Aca- ted to constructing an excellent, distinctive, and by 2020.”

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