Taipei yesterday unveiled a raft of rules that will relax investment into China by Taiwanese companies, particularly those in the flat panel and semiconductor industries.
Taiwanese chipmakers will be allowed to take a stake in or fully acquire their Chinese counterparts, provided that the factory being acquired lags at least two technological generations behind that of the factories the acquirer has in Taiwan.
Flat panel makers are still barred from mergers and acquisition activities in mainland China but for the first time a total of three new factories can now be established in China.
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