In the rush to the growing mainland Chinese market, some companies overlook the opportunity in Taiwan…
Perhaps international companies could learn from former Chinese leader Deng Xiaoping, who said, “cross the river by feeling out the stepping stones.” With a GDP growth rate of 10.5%, the Taiwanese market can serve as an excellent stepping stone into the mainland Chinese market.
Taiwan is identified as a priority market by the U.S. National Export Initiative (NEI). Part of the reason is that U.S. companies have a longer history and fewer complications doing business in Taiwan. This is especially important for U.S. small business exporters, who may find the mainland China market daunting. Taiwan is an easier first step.
In this brief video, the U.S. Senior Commercial Officer in Taipei explains which U.S. export sectors have the best opportunity:
From the U.S. National Export Initiative (NEI)
With a population of only 23 million, Taiwan is our ninth-largest trading partner, ahead of much larger economies. Taiwan’s GDP grew by almost 10.5 percent in 2010, while U.S. exports increased by 40 percent. Taiwan has considerably lowered its tariffs since its accession to the WTO in 2002. The island has benefited economically from expanding business activities into the Chinese Mainland. Taiwan imports a wide variety of electronic, optical and precision instruments, information and communications products, transportation equipment, machinery, and electrical products. Its high-tech sector relies heavily on technology licenses and imports of specialty components from the United States.
For more information about Taiwan:
Brought to you by Ray Hays, Member Arizona District Export Council.
Ray Hays serves as an international consultant for businesses that wish to enter new global markets or expand current operations abroad.