With increasing investment in Chinese factories, many vendors have been taking orders in Taiwan, and shipping direct from the mainland, Taiwan’s Central News Agency reported. However, a survey by the Taipei Export-Import Association said that this triangular trade pattern had been disrupted by the SARS outbreak, with meetings, quality control and after sales services all hit.

Some have called on the government to offer incentives to vendors to keep at least 20% of their production facilities in Taiwan. This could help vendors get round the sort of problems they face currently. However, it is likely to be seen as a transparent attempt to restrict outward investment and preserve Taiwanese jobs.

Source: Computerwire