Taipei, April 11, 2008 (CENS)--The Ministry of Economic Affairs (MOEA) recently green-lighted four local chip assemblers applying for approval to increase investments or open factories in mainland China.

In return for official approvals, Lingsen Precision Industries, Ltd., Kyec Yuan Electronics Co., Ltd., Siguard Microelectronics Corp. and Siliconware Precision Industries Co., Ltd. pledge to invest a combined NT$47.2 billion (US$1.5 billion at US$1:NT$30) in Taiwan over the next three years.

Lingsen plans to add US$10 million to capitalization of a mainland Chinese subsidiary, Kyec Yuan plans to increase capitalization of a mainland Chinese subsidiary by US$20 million, Siguard plans to invest US$6.7 million in a semiconductor company in the mainland and Siliconware plans to pump US$50 million into a mainland Chinese subsidiary.

Senior officials of the ministry pointed out that applicants must commit themselves in return for official permission, with such commitments being increasing investment at home, rewarding parent company in Taiwan, transferring technologies to Taiwan, and so on.

In other development, the ministry has received application from Advanced Semiconductor Engineering (ASE), which plans to funnel US$90 million into its factory in Shanghai. It is the second application the world No.1 chip assembler has submitted to the ministry in two months after it was approved to put US$30 million in China, where it opened a factory in June last year with US$21.6 million in capital.

(by Ben Shen)