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Taiwan faces brain drain as Beijing dangles ‘equal status’ offers

TAIPEI — Taiwan will face a tough challenge staunching what could be an even bigger brain drain and exodus of investment to the mainland after Beijing’s latest offer of economic sweeteners to lure Taiwanese, analysts and lawmakers warned.

Office workers at a cafe in Taipei. Analysts warn Taiwan will face a tough challenge staunching what  brain drain and exodus of investment to China after Beijing’s latest offer of economic sweeteners to lure Taiwanese. Photo: Reuters

Office workers at a cafe in Taipei. Analysts warn Taiwan will face a tough challenge staunching what brain drain and exodus of investment to China after Beijing’s latest offer of economic sweeteners to lure Taiwanese. Photo: Reuters

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TAIPEI — Taiwan will face a tough challenge staunching what could be an even bigger brain drain and exodus of investment to the mainland after Beijing’s latest offer of economic sweeteners to lure Taiwanese, analysts and lawmakers warned.

“More young people who have complained about low pay in Taiwan or who want to find a bigger market for development would choose to work on the mainland because of the incentives,” said Professor Chang Wu-ueh from Tamkang University’s China Study Institute.

In what analysts called an offensive designed to counter Taiwan’s attempts to declare independence, Premier Li Keqiang promised in his government work report delivered at the first session of the 13th National People’s Congress that the mainland would expand economic and cultural exchanges.

The aim would be to gradually allow Taiwanese to receive the same treatment as mainlanders while studying, doing business, working or living on the mainland, Mr Li said in the report.

Stressing the importance of both the “one-China” principle and safeguarding China’s sovereignty and territorial integrity, Mr Li said Beijing would not tolerate separatist schemes and activity in support of the independence movement on the self-ruled island.

Mr Li’s report followed an announcement by Beijing’s Taiwan Affairs Office this month of 31 measures that would give Taiwanese companies and individuals freer access to opportunities and benefits across the strait.

The measures would relax access to mainland markets for Taiwanese films, television programmes and books.

Under the moves, Taiwanese professionals would also be free to join mainland-based industry associations or study for any of 134 professional qualifications.

Beijing, which has long offered sweeteners to the people of Taiwan, has considered the island a wayward province subject to eventual union, if necessary by force.

It has suspended official exchanges and talks with Taipei since Ms Tsai Ing-wen of the independence-leaning Democratic Progressive Party became president in 2016 and rejected the one-China principle.

Analysts said that compared with previous incentives, the latest offer would be more comprehensive and systematic in attracting Taiwanese talent, enterprises, associations and artists to develop on the mainland.

However, it might take some time for Taiwanese to become re-established in practice through various levels of mainland government and authority, the analysts said.

Beijing could be expected to continue to offer incentives to Taiwanese nationals to recruit talent and acquire the island’s latest technology and investment, Prof Chang said.

The newcomers “would eventually grow roots on the mainland”, he said.

Mr Su Chi, a former secretary general of the National Security Council, said the sweeteners would “definitely have a great impact on Taiwanese, many of whom would be moved over to the mainland”.

The benefits might lead to Taiwan’s becoming further divided as more people call for closer links with Beijing, Mr Su said.

In a sign of how the incentives have worried the Tsai government, Premier William Lai last week announced the launch of a task force to devise measures to retain local talent and investors.

“The task force was established to study the incentives offered by Beijing and compare China’s policy with that of Taiwan. We will review and adjust what should be revised,” Mr Lai told the Legislative Yuan in Taipei.

“It is good if Taiwanese professionals are being enticed to develop in China for economic reasons, but it is not good if the measures are politically motivated,” Mr Lai said.

“Taiwanese must guard against this.”

New Power Party lawmaker Hsu Yung-ming warned that Taiwan might not be able to retain skilled workers if Beijing succeeds in attracting Taiwanese to work in China.

He called on the government to step up efforts to boost investments in Taiwan.

In response, Mr Lai said that the labour conditions in China might not be as good as those in Taiwan.

“Only by growing stronger could we possibly hope to retain skilled workers at the international level,” he added. ​SOUTH CHINA MORNING POST

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