Taiwan Cathay Pacific Bank has shifted its business from mainland China to Southeast A

When geopolitical risks rise, Taiwanese companies that occupy important positions in the global supply chain shift their vision from mainland China to Southeast Asia.Supplier customers turn the focus of layout to this area.

According to the Bloomberg Society on Monday (July 24), Cathay Pacific Bank of Cathay Pacific Bank, which is a Taiwanese businessman such as science and technology manufacturing and textiles, is investing more resources to Southeast Asia.

"From the perspective of our overseas strategy, the status of mainland China and Southeast Asia can be said to be exchanged." Miao Hua, deputy general manager of Cathay Pacific Bank, said in an interview.

Miao Hua Ben said that from 2020 to 2022, the number of employees in Vietnam increased by 75%; the number of recruiters in Singapore also increased by more than one -third.

In the past, in the era of globalization, Taiwan companies that Taiwan received orders and overseas produced in the past set the factory area in mainland China.Now that Taiwanese businessmen are actively operating in Southeast Asia, the bank's business expansion has naturally shifted with customers.

Miao Hua Ben said that since last year, Cathay Pacific's customers have begun to receive instructions from the United States and European buyers, requiring that the risk of the supply chain must be decentralized.To carry out operations.

"From a economic perspective, China is still a market that cannot be abandoned, but now more and more attention is concentrated in other regions." He pointed out that Vietnam, Indonesia and Cambodia are all customers' attention.nation.

The layout adjustment of Cathay Pacific is not alone.Tong Zhengzhang, deputy director of the Banking Bureau of the Taiwan Monetary Management Association, said in May that the Taiwan banking industry "westward" in mainland China was suspended. After 2018, no banks in Taiwan opened in mainland China.In addition, the banking industry in Taiwan is also significantly reduced to the mainland exposure. As of the first quarter of this year, the banking industry's overall exposure to the mainland has fallen to the lowest level of statistics in the past 10 years.

The total amount of loans, investment and interbank transactions in Bank of Taiwan in mainland China fell 18%in the first quarter of 2023.New investment in Taiwanese companies in mainland China in 2022 decreased by 14%compared with the previous year.

According to a report from the Ministry of Economic Affairs of Taiwan, Taiwan -enterprise's investment in Southeast Asia has grown to nearly half of the total foreign investment in Taiwan.