Subsidies aid cross-Strait integration

Taiwan-funded enterprises operating in Xiamen, Fujian province, that establish joint laboratories with local research institutes are eligible for subsidies of up to 10 million yuan ($1.43 million) to support innovation and high-quality development, local authorities said.

Xiamen rolled out a package of 25 measures on Monday aimed at boosting innovation among Taiwan-funded enterprises and attracting talent from the island, with the goal of promoting deeper integrated industrial development across the Taiwan Strait.

The measures implement a central government document supporting Fujian in exploring a new path for cross-Strait integration and building a demonstration zone.

Under the policy, Taiwan-funded enterprises participating in the city's major scientific and technological projects qualify for subsidies of up to 5 million yuan. Companies are also encouraged to pursue intelligent upgrades and digital transformation.

To deepen scientific and industrial exchanges, Taiwan enterprises that host influential industry conferences and summits in Xiamen can receive subsidies of up to 500,000 yuan. A cross-Strait integration and innovation award has also been established.

Newly selected distinguished experts from Taiwan are eligible for living allowances of up to 1.5 million yuan, while Taiwan professionals who establish enterprises in Xiamen can receive startup aid funds of up to 5 million yuan.

The package also focuses on expanding diversified financing channels, encouraging the development of Taiwan-funded investment funds, and helping Taiwan-funded enterprises accelerate their path to listing on the stock market.

Xiamen is working to build a favorable environment for Taiwan enterprises to establish operations and expand. The number of Taiwan-funded enterprises in the city had exceeded 7,000 by the end of 2025.

During the 14th Five-Year Plan period (2021-25), newly approved Taiwan-funded projects in the city increased by 24.6 percent, and the total scale of Taiwan business investment funds surpassed 6 billion yuan in 2024.

Over the past five years, Xiamen has taken the lead nationwide in building cross-Strait standards-connecting platforms, established the mainland's first financial service alliance for Taiwan enterprises, and issued the country's first digital yuan bonds for cross-Strait integration.

According to Xiamen's 15th Five-Year Plan (2026-30) proposal, priorities for cross-Strait industrial integration include accelerating cooperation in the integrated circuit sector and advancing cross-Strait digital economy integration.

Wu Chia-ying, honorary president of the Taiwan Businessmen Association in Xiamen, said the mainland's continuous preferential policies and practical assistance have helped ensure sustained investment by Taiwan enterprises.

Encouraging high-quality Taiwan firms to list on mainland stock exchanges in recent years has marked a significant breakthrough, Wu said. Eight Taiwan companies in Xiamen have successfully listed, easing long-standing funding constraints.

Wu said over the coming five years, Taiwan enterprises should prioritize deepening collaboration with mainland counterparts and integrate into mainland supply chains, and leverage policies to develop new quality productive forces and enhance global competitiveness.

Contact the writers at zhangyi1@chinadaily.com.cn