An increasing number of young entrepreneurs from the Taiwan region are coming over to the Chinese Mainland with hopes of tapping into a larger market. Leaving the island for the mainland however may be risky due to the unfamiliar work environment and different legal system. But the subsidies provided by Beijing and even local governments are starting to prove valuable. CGTN reporter Li Jianhua has more about how some are finding success away from home.
LI JIANHUA XIAMEN, FUJIAN PROVINCE "Xiamen, an island metropolis in southeastern China. It's known as an important port city for commerce and trade just across the Taiwan Straits. The two places share the same Hokkien culture. Due to historical reasons, the people from the Mainland and Taiwan were once separated, but now various policies are being rolled out to deepen exchanges."
A bustling city, Xiamen is now home to many young Taiwan entrepreneurs, and today we get to visit with one of them.
Lin Zonglong is one of many who came to the Mainland nearly fifteen years ago. With him, he brought one of the most well-known products from Taiwan – milk tea.
LIN ZONGLONG TAIWAN ENTREPRENEUR "I came to the Mainland in 2007, and I started my milk tea business in 2016. The government on the Mainland requires state-owned enterprises to support Taiwan entrepreneurs. Sea shine Group in Xiamen – a state-owned company – needs beverage services. They chose us as a supplier because of my Taiwan background."
Lin is also granted an allowance for housing, his company's initial capital injection, and even office facilities.
The number of young entrepreneurs from Taiwan entering the mainland saw rapid growth starting in 2016.
At the same time, Taiwan's economy has become increasingly intertwined with the Mainland's.
We accompany Lin to his office, a business space that only costs him 120 US dollars per month due to subsidies provided by the local Xiamen government.
LIN ZONGLONG TAIWAN ENTREPRENEUR "The mainland's economy is rising, but Taiwan's is very slow - the region's economy is growing slowly. That's why I came here to seek new opportunities. My friends ask me if I really get subsidies on the mainland. I say yes. Previously they wouldn't ask about this, but now they're interested."
The trade volume between the Mainland and Taiwan hit 200 billion US dollars in 2018 and about half a million people from Taiwan were working on the Chinese Mainland last year.
But not all are successful.
LIN ZONGLONG TAIWAN ENTREPRENEUR "Some entrepreneurs from Taiwan went back because they didn't know the market here. I suggest they work here first, instead of starting their own business directly. They don't have to worry about accommodation because they'll get an allowance. They also get subsidies for their pay - about two to three thousand yuan."
"Going west" is the expression young people from Taiwan use when someone heads over to the Mainland.
Lin is considering going further to southwest China's Sichuan Province next year.
Regardless of his plans, many like him are crossing the straits and settling down on the Mainland. LJH, CGTN, XIAMEN.