Mainland China Imposes Penalties on Pro-DPP Taiwanese Company
News Compiled by Taiwan Weekly
Taiwan conglomerate Far Eastern Group’s investment in polyester and synthetic fiber and cement plants in mainland China was fined and taxed 474 million yuan (about US$74 million) for a number of violations. It was speculated that the mainland intends to punish pro-independence donors. Spokeswoman Zhu Fenglian of the Taiwan Affairs Office (TAO), State Council, indicated on November 24 that people who support Taiwan independence and undermine cross-strait relations will never be allowed to make money on the mainland.
The TAO announced on November 5 that Premier Su Tseng-chang, Legislative Yuan Speaker You Si-kun, and Minister of Foreign Affairs Joseph Wu will be included in the list of diehards of Taiwan independence, and will be “punished.” They and their families will be banned from entering mainland China, Hong Kong and Macao. The blacklisted people will not be allowed to cooperate with entities or people from the mainland, nor will companies or entities who fund them be allowed to derive profits from doing business in the mainland.
As soon as the report came out, the outside world was concerned about whether Taiwanese in the mainland would be implicated.
Mainland China’s official Xinhua News Agency reported on November 22 that investigations by law enforcement agencies in five provinces and cities including Shanghai, Jiangsu, Jiangxi, Hubei, and Sichuan found that the chemical fiber textile and cement plants invested by the Far Eastern Group had a large number of violations of laws and regulations, including environmental protection, land use, employee’s occupational health, production safety and fire protection, taxation and quality of production.
In Taiwan, the Control Yuan released the list of political donors in July 2020. The Far Eastern Group donated to 14 Kuomintang (KMT) and 31 Democratic Progressive Party (DPP) candidates—with the most to the pro-independence candidates. Therefore, the outsiders speculated that the move implies that the mainland intends to punish those hard-core pro-independence financial backers.
Spokeswoman Zhu indicated on November 24 that the Far Eastern Group has been fined and taxed about 474 million yuan, and a parcel of land had been taken back by authorities. She said that the investigations are still in progress.
A reporter asked her that the media raised a question that the punishment pinpointed not only at the DPP, but also indirectly hitting the KMT. How does the mainland identify Taiwan independence diehards and Taiwan independence donors? Is there a clear criterion?
Spokeswoman Zhu did not reply to the identification criteria, but only emphasized that the mainland will never allow Taiwan independence diehards’ enterprises or investors to profit from the mainland while supporting Taiwan independence. And the crackdown on those diehards and their affiliates “will be based on facts, and targeted in accordance with the law.”
There will be a second wave of announcements regarding the list of Taiwan independence diehards, Zhu pointed out “there are definitely more than three people on the list.” Recently some pro-independence people claimed that they regret not being on the list, Zhu said “they should not worry. The time will come for them to feel real regret.”
Taiwan’s Mainland Affairs Council responded that the means used by the authoritarian Beijing regime are extremely harsh and will only make the people of Taiwan extremely disgusted. This action creates a chilling effect. It interferes with the operation of Taiwan’s enterprises as well as its democratic system, and the Taiwan government will probe and take necessary countermeasures and preventive measures in due course.