Taiwan’s Deputy National Security Advisor Su Chin Shu has said that India and Taiwan together can reduce dependence on imports from China in the field of electronic equipment. He suggested that the Free Trade Agreement (FTA) could be the most effective way to increase India-Taiwan economic cooperation. This will provide more investment opportunities to Taiwan companies in semiconductor and high -tech fields, as well as to deal with high fee system.
India-Taiwan partnership shocks China
Su Chin Shu, who came to participate in the Raisina dialogue in New Delhi, said that the combination of India’s demographics and Taiwan’s technical expertise can help in the joint production of high-level electronic products. With this, India will not only be able to cut imports from China, but will also be able to reduce its growing trade deficit.
Cooperation in Semiconductor and ICT sector
Taiwan, which manufactures 70% of the world’s 70% semecons and 90% advanced chips, can help India not only the semiconductor but also other information and communication technology (ICT) products. India’s trade deficit with China in 2023-24 reached US $ 85.1 billion, which could be reduced with increasing economic cooperation with Taiwan.
Steps towards India-Taiwan Free Trade Agreement (FTA)
Su Chin Shu said that Taiwan is serious about talks with India on FTA. He admitted that the high fee structure in India is a challenge for Taiwan companies, which can be resolved by FTA. Both countries have started preliminary studies and discussions on this agreement.
Growing trade and investment
According to official data, India is the 17th largest trading partner in Taiwan. Under the ‘Make in India’ initiative, Taiwanese companies have invested over US $ 4 billion in India, including shoes, machinery, automobile components, petrochemicals and ICT products.
Increased scope of India-Taiwan relations
Although there is no formal diplomatic relations between India and Taiwan, business and industrial cooperation is continuously increasing. Taiwan can help India significantly help China to create an independent and self -sufficient technical supply chain.
If FTA is applied between India and Taiwan, it will not only reduce commercial barriers, but will also help India to create a global semiconductor and electronics production hub.
