CIECA News Letter No. 8 / January, 2013 Index Special Report Premier's Resignation Means New Cabinet in Taiwan............................P.2 China Airlines chair tapped to lead MOEA………………………... …P.3 Joint Meetings, Seminar and Trade & Investment Mission th The 13 Taiwan-India Joint Business Councils Meeting ……….........P.5 CIECA visits Myanmar……………………………………………..…..P.6 Guests From Abroad Greece Guests visit CIECA ……………….………...………....……......P.7 Delegation of the Irish Parliament Visit CIECA….……...……….…….P.8 Mr. İsmet Erikan, Representative of Turkish Trade Office in Taipei visits CIECA……………………….……….……….………...………..…...…P.8 Panama Business Leader Delegation Luncheon…………………..……P.8 New Zealand Guest…………………………………………………..…P.9 Singing of MoU between CIECA and AWEX……………………….…P.10 Saudi Arabian Guests Visit CIECA………………………………..…....P.10 Economic News ………………………….………...………...……...P.11 Activity Report …………………………….………...………...…...P.20 Presentation of Republic of China…………………………………....P.22 虎 風 躍 調 雨 龍 騰 順 兆 生 紫 蛇 年 氣 CIECA wishes you a prosperous year of the little dragon! 1/23 Special Report cabinet, had been reappointed for Premier's Resignation Means New another five-year term, while Cabinet in Taiwan Economic Minister Shih Yen-hsiang will be replaced by China Airlines TAIPEI—Taiwan's cabinet Ltd. 2610.TW -0.39%Chairman is expected to step down by Thursday, Chang Chia-juch, and that there a government spokesman said, would be further changes to the following the resignation Friday of cabinet. Premier Sean Chen for health and family reasons. At a press conference Friday, Mr. Chen said, "I need to A shuffling of the completely change my work- and 48-member cabinet is the practice lifestyle"—a medical checkup last following a change in president or month having "indicated that my premier, and President Ma Ying-jeou health has changed." He added: "My could take the opportunity to try to wife said I should devote my talent to improve his popularity. Re-elected in the economy, rather than devoting my January 2012 with 51% of the vote, health." He also said he was he now has an approval rating of discussing details of the handover 13%. with the president. The Presidential Office in a Political analysts said any statement said that Mr. Chen, 63, will cabinet changes are unlikely to affect become a senior adviser to the the continuing economic cooperation president. He will be succeeded as and warming ties between Beijing premier by Jiang Yi-huah, currently and Taipei, as long as President Ma, vice premier, while Mao Chi-kuo, the who is considered China-friendly, minister of transport and remains at the helm. A shuffling communications, will become vice would let Mr. Ma respond to his premier, the statement said. It also declining popularity and doesn't announced that central bank Gov. suggest there will be drastic changes Perng Fai-nan, a member of the in domestic or diplomatic policies, 2/23 said Yang Tai-shuenn, a political economy and such issues as last science professor at Taiwan's Chinese year's power-price increase and Culture University. imposition of a tax on capital gains from stock trading. "Given Mr. Jiang doesn't have a strong background in handling The island's export-reliant cross-Strait relations, he is very likely market has been in doldrums since to follow his predecessor's track in the onset of the euro-zone crisis in maintaining a stable relationship with 2010. The slower-than-expected the U.S. and enhancing interaction recovery in the U.S., along with with China," Mr. Yang said. weakening China demand and stiff competition from South Korea's Mr. Jiang, 52, joined the booming tech industry, have stunted government in 2004 as an adviser to Taiwan's exports, which were down the Ministry of Education. The 2.3% in 2012 from the previous year. scholar-turned-politician was named The unemployment rate remains high vice premier last year. by Taiwan standards, above 4%, and The cabinet, also called the wages have been stagnant for a Executive Yuan, is the island's decade.(Feb. 1, The Wall Street highest decision-making body and is Journal) jointly appointed by the president and China Airlines chair tapped to lead the premier. The last shuffle took MOEA place when Mr. Ma was re-elected TAIPEI, Taiwan -- The and Mr. Wu Den-yih resigned as Executive Yuan yesterday named premier to become vice president. China Airlines Chairman Chang Chia-juch as the replacement for The president's sliding outgoing Economics Minister Shih popularity can be discerned from the Yen-shiang. streets of Taipei, where anti-administration demonstrations Having spent years in both have become frequent, expressing the private and public sectors, Chang public discontent over a deteriorating will utilize his experience and 3/23 expertise to map out policies to as the head of the economic bolster the country's economy, the ministry's Council for Economic Cabinet said in a statement. Planning and Development, the Cabinet said. Chang was recommended by several “heavyweight figures” Kuan proved his financial during the government's search for expertise by drafting the the next economics minister, the government's contingency plans in Cabinet said. Despite Chang's response to the fiscal cliff crisis in the relative lack of experience in the U.S. in December, the Cabinet said. economic sector, he has extensive Vice Premier Jiang Yi-huah, experience in running state-owned who is set to take over as head of the enterprises and excellent personal Cabinet, said earlier yesterday that he qualities, a Cabinet official was hopes to finalize the upcoming quoted by the Central News Agency Cabinet reshuffle before the Lunar as saying, pointing out that New Year holiday, which starts Feb. outstanding former Economics 9. Ministers Chao Yao-tung and Sun Yun-suan also came to their posts Not all of the Cabinet without prior experience. positions will be changed, Jiang said, adding that he expects consultations In addition to running the with possible candidates to be Republic of China's flag-carrier, completed soon. Chang served as vice minister of transportation and communications Premier Sean Chen is and chaired state-owned businesses scheduled to lead his Cabinet in an en including the China Steel Corp. and masse resignation Feb. 7. After Chunghwa Post Co., Ltd. President Ma Ying-jeou approves Chen's resignation, he will formally Meanwhile, Minister appoint Jiang as the new premier, without Portfolio Kuan Chung-ming government sources said. will take over Yiin Chii-ming's post 4/23 Jiang said he has been discussing the The 13th Taiwan-India Joint Business new Cabinet lineup with Ma and that Councils Meeting he hopes the list can be finalized before the Lunar New Year break. The 13th Taiwan-India Joint Business Councils Meeting, jointly As part of the shakeup, the organized by Chinese International positions of economics minister, Economic Cooperation Association finance minister and head of the Council for Economic Planning and (CIECA) and the Federation of Development have received much Indian Chamber of Commerce and attention, although Jiang has Industry (FICCI) was held on remained tight-lipped about January 9 in Taipei. The meeting was individual appointments. co-chaired by Mr. C.Y. Wang, One day earlier, Chen stood Chairman of CIECA and Mr. K. K. up for Jiang, a former interior Modi, former president of FICCI. minister, and Transportation Minister More than 150 government officials, Mao Chi-kuo, who is set to become industrial experts and business the new vice premier. Jiang and Mao leaders from both sides participate in have faced accusations from some the conference. critics that they do not have backgrounds in economics and Several guests of honor were finance. invited to address the opening Jiang said he hopes the new ceremony, including Mr. Chun-fu lineup will coordinate their efforts Chang, Director General of Bureau of better than the existing one, so that Foreign Trade; Mr. Pradeep Kumar the Taiwanese public will have Rawat, Director General of the confidence in the new Cabinet, even India-Taipei Association; both current though it is not led by a person with much experience in economics and and former Ambassador of R.O.C. to finance. (Feb. 4, The China Post) India, Amb. Chung-Kwang Tien and Amb. Philip Wen-Chyi Ong. Joint Meetings, Seminar and Trade In the Plenary Meeting, Ms. & Investment Mission Kristy Tsun Tzu Hsu, Associate 5/23 Research Fellow, Chung-Hua Chairman C. Y. Wang and Institution for Economic Research, Dr. Myo Thet, Secretary General of expanded on “Moving Towards an the Union of Myanmar Federation India-Taiwan Economic Cooperation Chamber of Commerce and Industry, Agreement” ; Mr. Atul Shunglu, signed the Cooperation Agreement on Assistant Secretary General of FICCI, January 22. They also discussed delivered a presentation on issues of mutual concerns, including “Investment Opportunities for investment promotion and industry Taiwanese Companies in India” ; and cooperation. Mr. Tony Phoo, Economist of The 5-day visit not only Standard Chartered Bank (Taiwan) offered members of the delegation a Ltd., made a speech on “India: valuable opportunity to better Tomorrow’s Story”. understand the development of various industries, namely Trade, Banking, Energy and Manufacturing, but also helped enhance friendly and cooperative relations between Myanmar and Taiwan. CIECA visits Myanmar CIECA Chairman C. Y. Wang and some Taiwanese businessmen joined CACCI Presidential Visit to visit Yangon, Myanmar on January 21 to 25, 2013. A total of 46 delegates from 8 Chairman C. Y. Wang and Dr. Myo Thet , countries join the CACCI delegation Secretary General of UMFCCI signed the led by President Amb. Benedicto Cooperation Agreement. Yujuico. 6/23 Chairman C. Y. Wang made remarks at signing ceremony. Traditional blessing gift from Federation of Pakistan Chamber of Commerce and Industry Group photo at Business Meeting and Singing Ceremony on January 22, 2013 Greece Guests visit CIECA Mrs.