BYD Co's top executives' visit to MAC has not been approved by Taikoo, as reported.
In recent times, the Mainland Affairs Council (MAC) in Taiwan has been scrutinizing imports of Chinese electric vehicles, particularly those by BYD Co, due to concerns over national security and cybersecurity.
The main apprehensions revolve around the potential risks to information security posed by user data collected by connected Chinese electric vehicles once deployed on Taiwan's roads. The government is wary of the data being used in ways that could compromise user and national information.
Additionally, Taiwan is concerned about the potential impact on its domestic electric vehicle industry. Chinese electric vehicles are heavily subsidized, leading to lower prices and the possibility of dumping in international markets. This could harm local manufacturers.
The MAC is supporting stringent and comprehensive reviews of all Chinese vehicle brands seeking market entry to safeguard national security, vehicle safety, information security, and protect domestic industry.
Furthermore, Taiwan is considering new regulatory measures to block indirect imports of Chinese electric vehicles. This comes in response to plans by Chinese manufacturers like BYD to enter Taiwan by assembling vehicles in Thailand and selling them under another brand, Denza, through local agents.
Liang Wen-chieh, MAC Deputy Minister and spokesman, has clarified that the cross-strait act permits Chinese nationals to run for office if they have had house registration for 10 years or longer. However, the Nationality Act requires elected officials to renounce their other nationalities within one year after they are elected.
These stringent reviews and potential regulatory measures are part of an effort to maintain stricter control over Chinese business influence and trade practices that could circumvent direct scrutiny. They are aimed at preventing activities that could facilitate influence or control by China in Taiwan’s market.
[1] Taiwan Times, 2022. "MAC to scrutinize Chinese electric cars amid national security concerns." [2] Focus Taiwan, 2022. "Taiwan to block Chinese electric vehicles from entering market via Thailand."
- The Mainland Affairs Council (MAC) in Taiwan is implementing stringent reviews of Chinese vehicle brands seeking market entry to safeguard sectors such as national security, vehicle safety, and information security, given the potential risks to information security posed by connected Chinese electric vehicles.
- In addition to national security concerns, Taiwan is also worried about the potential impact on its domestic electric vehicle industry from Chinese electric vehicles that are heavily subsidized and could harm local manufacturers through dumping in international markets.
