Taiwan President's Chosen Successor Opposes China Chip Opening

  • KMT chairman Chu against mainland funds for chip designers
  • Government had proposed lifting ban in $19 billion industry

Taiwan's ruling party Kuomintang presidential candidate Eric Chu.

Photographer: Billy H.C. Kwok/Bloomberg
Lock
This article is for subscribers only.

Taiwanese presidential hopeful Eric Chu said he opposed mainland Chinese investment in the island’s microchip designers, breaking with his ally, outgoing President Ma Ying-jeou, as he attempts to close a wide gap in the polls.

Chu, the chairman of Taiwan’s ruling party, the Kuomintang, described the $19 billion industry as too important to open to greater influence from the island’s former civil war rival. He was answering questions from Bloomberg about a proposalBloomberg Terminal by Ma’s government to lift a ban on mainland Chinese investment in integrated-circuit-design companies such as the Hsinchu-based MediaTek Inc. as the global smartphone boom slows.