India does not have diplomatic relations with Taiwan (Republic of China).

India has non-governmental economic, commercial, cultural and people-to-people exchanges and contacts with Taiwan within the framework of India's "One-China" policy.

The India Taipei Association (ITA) Office has been established in Taipei since 1995 to promote non-governmental interactions between India and Taiwan, and to facilitate business, tourism, cultural and people-to-people exchanges. India-Taipei Association has also been authorized to provide all consular and passport services. 

Overview of Taiwan's economy

Taiwan is an island of 36,006 sq kms. located in the western Pacific Ocean off the south eastern coast of the Peoples' Republic of China, and has a population of approximately 23 million,. Despite the relatively small size of its geographical area and population, Taiwan has emerged as a formidable economic power-house in the Asia-Pacific region. It is the world's 16^th largest economy and fifth largest economy in Asia (after Japan, China, India and South Korea). It has the world's third largest foreign exchange reserves (US$206.63 billion in December 2003). Key statistics given below present an economic picture of Taiwan.
 

Year	GDP in US Dollar million	Economic Growth rate at 1996 prices(%)	Per capita GNP in US Dollars	Total Foreign Trade in US$ billion
2003		3.15(f)		271.5 (p)
2002	281,508	3.6	12,900	243.1
2001	281,178	-2.2	12,876	230.1
2000	309,426	5.9	14,188	288.3
1999	287,881	5.4	13,235	232.3
1998	267,154	4.6	12,360	215.2

(f) : Forecast

(p) : Provisional

Source: Taiwan Statistical Data Book

The main centres of economic activity are located in Taipei (capital city) and Keelung in the north, Taichung in the central part, and Tainan and Kaohsiung in the south. Keelung is the world's fifth largest container port. Due to its location, it has an average shipping time of only 52 hours to Singapore, Hongkong, Shanghai, Tokyo and Manila. The two international airports at Taipei and Kaohsiung are well-connected to all major capitals in the Asia-Pacific region and to North America. China Airlines (the flag carrier of Taiwan) flies thrice weekly flights from Taipei to New Delhi (6 hours 20 minutes).

Taiwan is the world's fourth largest IC maker globally, and the second after the United States in IC design. Taiwan Semi-conductor Company is the world's larges chip-maker. Taiwan is among the world leaders in the manufacture of PC Notebooks, TFT-LCD units, computer peripherals and mobile phones. Acer, BenQ, DB Telecom and similar manufacturers are rapidly gaining global brand recognition, including in the Indian market. The IT and telecommunications industry accounted for exports of over US$ 47 billion in Year 2003. Taiwan is also the world's fourteenth largest supplier of precision machinery, including in machine tools, wood-working, plastics and textiles, with a value exceeding US$ 15 billion annually. Taiwan is investing substantial capital in the development of future-generation R&D, including in the areas of bio-technologies, bio-informatics, nano-technology and chip design. Science based parks have been established in Hsinchu and Nankang (north) and in Tainan (south) to kick-start its transition to a high-tech economy.

Taiwan hosts several international trade exhibitions and conventions annually. The details may be accessed at http://www.taipeitradeshows.com.tw.

The World Economic Forum (WEF) has ranked Taiwan as the fifth most competitive investment environment globally in Year 2003. Taiwan attracted US$ 3.58 billion in investment in Year 2003. Taiwan is also a major investor abroad and, according to official figures, has invested US$ 3.97 billion in Year 2003 (excluding investment in Mainland China which is US$ 4.595 billion)

India Taiwan Trade
 

(In million US Dollars)
	Export from India		Import by India		Total Trade
	Amount	Growth	Amount	Growth	Amount	Growth
1997	662.3	---	549.4	----	1211.7	---
1998	461.1	(-)30.4%	526.1	(-)4.2%	987.2	(-)18.5%
1999	390.0	(-)15.4%	594.1	12.9%	984.1	(-)0.3%
2000	513.4	31.6%	717.9	20.8%	1231.3	25.1%
2001	493.3	(-)3.9%	630.2	(-)12.2%	1123.5	(-)8.8%
2002	551.9	11.88%	647.4	2.73%	1199.3	6.75%
2003	623.73	13.21%	770.37	19%	1394.1	16.34%

Source: Taiwan Customs Statistics

Major Indian exports to Taiwan include unwrought Aluminium, Copper, Cotton yarn, Chemicals, Granite, Iron Ore and non-industrial diamonds. Major Taiwanese exports to India include Digital mobile phones, Integrated circuits, Tyre cord fabric, Pigments, PVC and Compact Disks.

India's share in Taiwan's total imports is slightly more than 0.5%. 

In order to coordinate the bilateral trade activities, China International Economic Cooperation Association (CIECA), Taiwan and FICCI, India have set up India Taiwan Business Cooperation Committee (BCC). The 9^th Joint meeting of BCC was held in October 2003 in New Delhi. Taiwan's Ministry of Economic Affairs and Bureau of Foreign Trade have designated Year 2004 as a Focus India year, and are organizing several trade and investment delegations to India, including in the chemical, textile, IT, medical appliances and auto-components sectors.

Information regarding the customs tariff for import into Taiwan is available at http://wwweng.dgoc.gov.tw/ep06-frames.htm. 

Direct Air Services to India

China Airlines has begun direct scheduled passenger flights between Taipei and Delhi thrice weekly since April 1, 2002. Both China Airlines and Eva Air (Taiwan's two major international air-carriers) presently have cargo operations to New Delhi and Mumbai respectively. Taipei and Kaohsiung are also well connected by several daily flights to and from Bangkok, Singapore, Kuala Lumpur, Hongkong, Tokyo, Osaka, Seoul and cities in North America.

Investment in India

Taiwanese investment approved by the Secretariat of Industrial Approvals (SIA), India over last decade account for Rs.495.2 crores. Taiwanese companies that have already invested in India include Winny Electronics, Chinatrust Commercial Bank, Acer, D-Link (listed on Bombay Stock Exchange), Hotline Glass Limited and Lanner Electronics. Taiwanese Investment to India in 2002 totaled Rs.356.8 crores. In 2004 some Taiwanese companies are looking into establishment of Liaison or \branch Offices in India.

An Agreement on Promotion and Protection of Investment was signed by the Directors General of India Taipei Association, Taipei and Taipei Economic and Cultural Center, New Delhi on October 17, 2002.

Source: Indian High Commission, Taiwan