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Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Singapore Asia Pacific World Taiwan seeks protection for its companies in China AP - Sunday, June 27 Send IM Story Print TAIPEI, Taiwan – Taiwan's top China negotiator said Sunday that the island hopes to sign an agreement with Beijing later this year to protect the interests of Taiwanese businesses on the mainland as labor costs there rise. The statement by Straits Exchange Foundation Chairman Chiang Pin-kung reflects the increasing difficulties Taiwanese companies are facing as workers in China's southern manufacturing heartland hold strikes demanding better benefits. China has also allowed its yuan currency, also called the renminbi, to strengthen recently. Chiang's foundation is a semiofficial agency responsible for conducting high-level talks with China. The predicament of Taiwanese businesses in China has been highlighted by problems at Foxconn Technology Group, the world's largest contract electronics manufacturer, which makes products for many leading electronics companies. The Taipei-based company recently raised the wages of its Chinese workers twice after a string of suicides at its mammoth complex in the southern Chinese city of Shenzhen. Speaking to reporters Sunday, Chiang said Taiwan's government is seeking to sign an agreement with Beijing offering Taiwanese companies better operating conditions in China. "Taiwanese companies on the mainland are now struggling with various problems, and these issues include a stronger renminbi, rising wages for workers, a shortage of labor, and the consequences of the Foxconn incident," Chiang said. "They now need more protection to deal with the situation." A spokesman from Chiang's foundation could not provide details of the proposed agreement, and it was unclear how Taiwan would seek to protect the interests of its companies on the mainland. Taiwan and China split amid civil war in 1949, and Beijing continues to claim the self-ruled island as part of its territory. Taiwanese President Ma Ying-jeou has sought closer economic ties to ease tension across the Taiwan Strait. There are about 40,000 Taiwanese companies in China. Over the past 20 years, Taiwanese companies have invested a total of at least $83 billion on the mainland, with China being the most popular destination for Taiwan businesses looking to invest overseas. Recommend Send IM Story Print Related Articles China's Hu tells G20 that balancing will take time Reuters - 20 minutes ago US-BUSINESS Summary Reuters - 26 minutes ago Oil spill teams keep wary eye on storm in Gulf Reuters - 26 minutes ago G20 drops China-sensitive plaudits on yuan reform Reuters - 50 minutes ago RCOM sells mobile tower assets to slash debt AFP - 50 minutes ago News Search Top Stories G20 agrees to cut deficits in half by 2013: Merkel Greece will tame debt with reforms: IMF official Blood test gives pointer to early menopause Vatican beatifies Lebanon monk Stormy conditions could hamper Gulf oil cleanup More Top Stories » Related Full Coverage China Economychina economy All Full Coverage » ADVERTISEMENT Most Popular Most Viewed Most Recommended Fans gather for Michael Jackson death anniversary Amputee cat gets bionic legs Belgian church mulling legal action after paedophilia raids Study indicates life was possible all over Mars Goldman ordered to pay hedge fund creditors More Most Viewed » Aussie men shoot each other in buttocks 'to see if it hurts' Amputee cat gets bionic legs More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Asia Entertainment Photos World Cup 2010 Copyright © 2010 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

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