A number of factors are leading to increased investment and corporate activity in Asia, according to a new article in the Asia Business Law Journal, written by Robin Chang, Matt Lai and Lu Jialin at law firm Lee and Li.

“Interactions between South Korea and Taiwan have become increasingly close, particularly in terms of trade. With total trade of USD36 billion in 2020, South Korea was Taiwan’s fifth-biggest partner, according to Taiwan Bureau of Foreign Trade data. Likewise, Korean customs data shows Taiwan was also South Korea’s fifth-biggest partner. This shows that Taiwan indeed has niche markets for investors from South Korea to invest in.”

“Taiwan has a clear distribution of industrial clusters: electronics and technology in the north, precision machinery in central regions, and petrochemicals and heavy industry in the south. These industrial clusters offer strong supply chains to investors that can promptly provide customised components and meet their needs. In addition, Taiwan has relatively inexpensive utilities and telecommunications charges, and an excellent labour force, with 51.2% having obtained at least a college degree in 2018.”

“Over recent years, built on existing 5G, artificial intelligence, big data, cloud computing, internet of things, and blockchain technologies, the plan has created numerous investment opportunities and attracted many renowned world investors to Taiwan, including Microsoft, Google and Denmark’s Ørsted. Considering the recent trends in global trade and global value chains, we believe there will be many opportunities for excellent Korean investors.”