Staff of Reuters Read for 2 minutes In Taipei, Taiwan, on June 2, 2021, a man crosses the street wearing a protective mask in response to the recent spike in coronavirus illness (COVID-19) infections. FILES/ANN WANG/REUTERS TAIPEI, Taiwan (Reuters) – On Thursday, Taiwan’s Cabinet said that the government wants to grant another T$150 billion ($5.34 billion) in loans as part of a scheme to encourage the island’s businesses to continue investing domestically. After seeing corporations flock back to Taiwan amid the China-US trade war to escape being hit by punitive tariffs imposed by both nations on imports from each other, Taiwan has been pushing them to invest domestically. The Cabinet noted in a statement that despite the COVID-19 outbreak, enterprises in Taiwan have continued to invest, with the economy and especially IT exports booming, fueled by global demand from people working and studying from home during lockdowns. The Cabinet announced that it would grant another T$150 billion in loans to help with finance after earlier funds was used up, with more than 50 enterprises seeking permission for investment projects. Export-dependent Taiwan is a significant producer of semiconductors, and a scarcity has harmed global automakers in particular. To fulfill demand, Taiwanese companies are increasing output. Taiwan’s exports surpassed $200 billion in the first half of this year, a new high, thanks in large part to its high-tech and chip products. The Cabinet stated, “It is astonishing that we can still have such a performance amid the epidemic.” During the trade war, more than 900 enterprises have boosted their presence in Taiwan, investing more than T$1.2 trillion, according to the government. (1 Taiwan dollar = 28.1060 Taiwan dollars) Ben Blanchard and Yimou Lee contributed reporting, while Robert Birsel edited the piece./n
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