In view of intensifying US-China confrontation and Taiwan actively promoting its New Southbound Policy, many Taiwan-based suppliers intend to meet increasing capacity demand by relocating manufacturing to Southeast Asia and building new industrial clusters there to tap the demographic and geographic advantages as well as rapidly growing market demand in the region. They look to replicate their experiences in China and make Southeast Asia the next world factory that will support rising needs as the global supply chain makes transitions to accommodate “G2” (US vs China) developments.
Vietnam and Thailand, neighboring China, will be Taiwan-based suppliers’ first choices for their move into Southeast Asia, followed by Malaysia, Indonesia, and the Philippines. They will not include Laos, Myanmar and Cambodia in their consideration due to political instability in those…
