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October 2016October | Vol. 2016 46 | | Vol. Issue 46 10 | Issue 10 THE AMERICAN CHAMBER OF COMMERCE IN TAIPEI IN OF COMMERCE THE AMERICAN CHAMBER TAIPEI IN OF COMMERCE THE AMERICAN CHAMBER COVERCOVER STORY STORY Taiwan’sTaiwan’s Energy Energy ChallengeChallenge 台灣的能源挑戰台灣的能源挑戰 TAIWAN BUSINESS TOPICS TAIWAN BUSINESS TOPICS TAIWAN INDUSTRYINDUSTRY FOCUS FOCUS Real EstateReal Estate DESIGNDESIGN IN TAIWAN IN TAIWAN FashionFashion Designers Designers BACKGROUNDERBACKGROUNDER October 2016 | Vol. 46 | Issue 10 Vol. October 2016 | 46 | Issue 10 Vol. October 2016 | LGBT RightsLGBT Rights 中 華 郵 政中 北 華台 郵字 政第 北 台 字 第 5000 5000 號 執 照 登號 記 執為 照雜 登誌 記交 為寄 雜 誌 交 寄 ISSUE SPONSORISSUE SPONSOR Published by the Published by the American Chamber OfAmerican Chamber Of Read TOPICSRead Online TOPICS at topics.amcham.com.tw Online at topics.amcham.com.tw NT$150 NT$150Commerce In Taipei Commerce In Taipei 10_2016_Cover.indd10_2016_Cover.indd 1 1 2016/10/4 2:41:59 2016/10/4PM 2:41:59 PM CONTENTS NEWS AND VIEWS 6 Editorial A Significant Initiative 重大的一步 OCTOBER 2016 VOLUME 46, NUMBER 10 一○五年十月號 7 Taiwan Briefs By Timothy Ferry Publisher 發行人 Andrea Wu 吳王小珍 Editor-in-Chief 總編輯 11 Issues Don Shapiro 沙蕩 Cosmetic Law Clarifications Associate Editor 副主編 化妝品法釋疑 Tim Ferry 法緹姆 Art Director/ 美術主任/ By Don Shapiro Production Coordinator 後製統籌 Katia Chen 陳國梅 Manager, Publications Sales & Marketing 廣告行銷經理 COVER SECTION Caroline Lee 李佳紋 Translation 翻譯 Jay Chen, Yichun Chen, Sonia Tsai, Andrew Wang Taiwan’s Energy Challenge 陳正杰, 陳宜君, 蔡函岑, 王先堂 台灣的能源挑戰 ByTimothy Ferry American Chamber of Commerce in Taipei 14 Taiwan’s “Energiewende” 129 MinSheng East Road, Section 3, 7F, Suite 706, Taipei 10596, Taiwan – Developing Renewable P.O. Box 17-277, Taipei, 10419 Taiwan Energy Tel: 2718-8226 Fax: 2718-8182 e-mail: [email protected] Massive investment in solar and wind website: http://www.amcham.com.tw 名稱：台北市美國商會工商雜誌 power will be needed if Taiwan is to 發行所：台北市美國商會 臺北市10596民生東路三段129號七樓706室 phase out nuclear energy at the same 電話：2718-8226 傳真：2718-8182 time as meeting its carbon abatement Taiwan Business TOPICS is a publication of the American Chamber of commitments. Commerce in Taipei, ROC. Contents are independent of and do not necessarily reflect the views of the Officers, Board of Governors, Supervisors or members. 21 An Early Nuclear-free © Copyright 2016 by the American Chamber of Commerce in Taipei, ROC. All rights reserved. Permission to reprint original material must Homeland be requested in writing from AmCham. Production done in-house, Printing by Farn Mei Printing Co., Ltd. With both nuclear power plants in 登記字號：台誌第一零九六九號 northern Taiwan soon to shut down, 印刷所：帆美印刷股份有限公司 經銷商：台灣英文雜誌社 台北市108台北市萬華區長沙街二段66號 a significant gap in power supply is 發行日期：中華民國一○五年十月 中華郵政北台字第5000號執照登記為雜誌交寄 looming. ISSN 1818-1961 23 Reaching the Peak Chairman/ Dan Silver Can Taiwan maintain reliable – and Vice Chairmen/ Margaret Driscoll / Daniel Tseng affordable – electricity prices even as Treasurer: Al Chang Secretary: Fupei Wang it slashes greenhouse gas emissions? 2015-2016 Governors: Margaret Driscoll, Revital Golan, Vincent Shih, Gordon Stewart, Rodney Van Dooren, Fupei Wang, Lee Wood. 2016-2017 Governors: Al Chang, Christine Jih, Annie Lee, BACKGROUNDER Edward Shober, Dan Silver, Joanne Tsai, Daniel Tseng, Neil Waters. 26 Being Tongzhi: Examining 2015 Supervisors: Albert Chang, Anita Chen, Nick Chen, Joseph Lin LGBT Rights in Taiwan COMMITTEES: Many consider Taiwan to be East Agro-Chemical/ Melody Wang; Asset Management/ Christine Jih, Derek Yung; Banking/ Victor Kuan; Capital Asia’s friendliest country for lesbians, Markets/ Mandy Huang, C.P. Liu, Shirley Tsai; Chemical gays, bisexuals, and transgenders. Manufacturers/ Michael Wong; CSR/ Lume Liao, Fupei Wang; Customs & International Trade/ Stephen Tan; By Alexander Melnik Greater China Business/ Cheng-Mount Cheng, Helen Chou; Human Resources/ Vickie Chen, Richard Lin, Monica Han, Seraphim Mar; Infrastructure/ Paul Lee; Insurance/ Dan Ting; Intellectual Property & Licensing/ Jason Chen, DESIGN IN TAIWAN Peter Dernbach, Jeffrey Harris, Vincent Shih; Marketing & Distribution/ Wei Hsiang, Gordon Stewart; Medical Devices/ Terry Lin, Raghavendra Shenoy, Joanne Yao; Pharmaceutical/ 29 The Hurdles Facing Fashion Margaret E. Driscoll, David Lin, Jun Hong Park; Private Equity/ William Bryson; Public Health/ Dennis Lin, Joseph Designers Romanelli; Real Estate/ Tony Chao; Retail/ Ray Chan, The final article in a series published Prudence Jang, Wern-Yuen Tan; Sustainable Development/ Kenny Jeng, Cosmas Lu, Kernel Wang; Tax/ Stella Lai/ to mark Taipei’s designation as the Cheli Liaw, Josephine Peng; Technology/ Revital Golan, Rod Morgan; Telecommunications & Media/ Thomas Ee, Joanne 2016 World Design Capital. Tsai, Ken Wu; Transportation/ Nick Chen; Travel & Tourism/ Anita Chen, Pauline Leung, Achim v. Hake. By Nina Sheridan 4 taiwan business topics • october 2016 10 Contents.indd 4 2016/10/4 5:23:06 PM october 2016 • Volume 46 number 10 AMCHAM EVENTS InDuStrY 49 Amcham Taipei Marks 65th F cuS Anniversary A Report on the Real Estate Sector 34 Trends in the Taiwan the luxury segment for smaller Property Market units with lower selling prices. High transaction costs are affecting By Philip Liu foreign investors’ interest in Tai- wanese real estate, while Taiwan’s 42 Investing in Japan’s institutional investors are looking Residential Property abroad. Market By Ping Lee, CBRE Taiwan By Matthew Fulco 37 For Taiwan’s Insurers, the 43 Build it and maybe they Opportunity of a Lifetime will come? Faced with a tepid home property By Matthew Fulco market, Taiwan’s life insurers are increasingly investing in high-yield 44 Taiwan a World LEEDer for overseas property. Green Buildings By Matthew Fulco More can be done, say experts, particularly through government 39 Stagnant Conditions in the incentives, education, and retrofit- Housing Market ting old buildings. Developers recently have deserted By Jules Quartly taiwan business topics • october 2016 5 10 Contents.indd 5 2016/10/5 3:03:57 PM E D I T O R I A L A Significant Initiative n an executive order likely to have far-reaching implications existing rules. Often deficiencies in proposed regulations became in improving the transparency and effectiveness of Taiwan’s apparent only after the rules were already implemented. The I regulatory process, the Executive Yuan in early September longer notice and comment period will contribute to the drafting issued a directive extending the notice and comment period for of more thoroughly considered, more effective regulations and will proposed regulations from the current 14 days to 60 days. The further boost the democratic spirit of broad public engagement. new system took effect from the beginning of this month, and Although the new executive order addresses what had been applies to all regulations proposed by government ministries and one of the chief shortcomings in Taiwan’s rule-making process, agencies, as well as to draft laws dealing with trade, investment, more remains to be done to ensure that this reform achieves or intellectual property rights that are being considered by the its full effectiveness. At the most basic level, all those who are Executive Yuan for submission to the legislature. potentially affected by a new regulation – including industry, AmCham Taipei enthusiastically applauds this initiative, civic organizations, and members of the public at large – need to and commends Premier Lin Chuan and the National Develop- be informed about the new system and encouraged to provide ment Council for recognizing its importance. Providing a 60-day their input. The government can help by making the process notice and comment period has been among the Chamber’s top as easy and user-friendly as possible, for example by creating a priorities for the past two years. As AmCham Chairman Dan single centralized website that uses a uniform format for notice Silver noted in an email to all Chamber members, the executive and comment on all new laws and regulations, no matter which order moves Taiwan “closer to world-class practices for regu- ministry has proposed them. latory transparency” and “signals Taiwan’s readiness to make Equally important, the various ministries need to be prepared significant reforms to prepare for its bid” to join the Trans-Pa- to provide meaningful responses to major themes that emerge cific Partnership (TPP). from the public comments, and to be open to revising the The Chamber also did its best to spread word of this welcome initial drafts of regulations to reflect useful suggestions that are change through letters to officials in key U.S. government offices submitted. In the past, even if comments could be offered in (including the National Security Council, State Department, time, the communication was nearly always one-way, with little Commerce Department, and USTR), leading American industry or no feedback. associations, and prominent scholars of administrative law. In Finally, a sound rule-making process requires the setting of those letters, AmCham praised the new policy as a sign of the mandatory sunset provisions, so that regulations do not remain new administration’s “willingness to proactively engage the on the books forever without being periodically reviewed to public and industry stakeholders.” ensure their continued relevance and appropriateness. Previously, the 14-day period (increased just last year from The 60-day period provides an excellent framework for posi- only seven days) left insufficient time for meaningful
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