Modernization creating huge cross-Strait opportunities

Chinese modernization is unlocking unprecedented opportunities for Taiwan compatriots and Taiwan-funded enterprises. Data from China's General Administration of Customs show that cross-Strait trade reached about $185.03 billion in the first half of this year, up 25.3 percent year-on-year.

Similarly, Taiwan's finance authorities report that the island's exports to the Chinese mainland and Hong Kong Special Administrative Region rose 26.5 percent in the first seven months of the year. Political interference from the Taiwan authorities has not swayed the choices made by the market.

Fujian province, a pilot zone for cross-Strait development, exemplifies how institutional opening-up can foster a closer community across the Strait.

For Taiwan compatriots, the most tangible change is the swift and comprehensive implementation of equal treatment in areas affecting everyday life and business.

The progress is evident in both people flows and business activity. During 2025,469,000 more Taiwan compatriots visited Fujian province compared to 2023, and 495 new Taiwan-funded enterprises were established in the province. Fujian utilized $724 million in Taiwan investment in 2025.

Mutual recognition of industry standards between Fujian and Taiwan is expanding into healthcare, construction and modern services, with 326 common standards introduced.

Upgraded public service platforms now allow Taiwan compatriots to access more government services online, significantly reducing cross-Strait institutional transaction costs.

Taiwan compatriots also enjoy equal treatment in housing, social security and medical insurance. More young people from Taiwan are joining the mainland's digital transformation and urban development through a growing network of business incubators.

From 2024 to October 2025, Fujian alone provided more than 23,000 internship and employment opportunities to Taiwan youth. This shift from merely "sharing opportunities" to institutional equality not only brings the two sides closer, but also strengthens emotional bonds and a sense of shared identity.

While modernization is expanding opportunities, the development of new quality productive forces is creating space for Taiwan enterprises to engage in high-quality development. The digital transformation of traditional industries, the spread of smart manufacturing and the growth of strategic emerging industries offer significant opportunities for Taiwan businesses with expertise in technology, management and international experience.

Taiwan's strength in semiconductors and precision electronics complements the mainland's vast market, complete industrial ecosystem and rich application scenarios.

Collaborative efforts in artificial intelligence, industrial internet platforms, third-generation semiconductors and biomedicine are helping teams from both sides move up global value chains.

Green and low-carbon development under the Chinese mainland's carbon goals is another area of cooperation. Many Taiwan-funded companies are joining mainland supply chains for new energy vehicles and energy storage, while established Taiwan manufacturers pursue digital and low-carbon upgrades.

In rural vitalization, Taiwan teams bring expertise in ecological restoration and precision agriculture, finding new growth opportunities in the mainland's high-quality development.

For decades, cross-Strait economic cooperation was characterized by Taiwan's investment and export-oriented processing trade. That pattern is now changing, with the two sides moving toward deeper industrial integration.

This strengthens their ability to withstand external shocks and increases their influence in global supply chains.

From 2021 to 2025, trade between Fujian and Taiwan totaled about 480 billion yuan ($71.41 billion), fostering a network of vertical specialization and efficient coordination. Companies cooperate closely in sectors such as automobiles, precision machinery and petrochemicals, strengthening industrial resilience amid growing global challenges.

Connectivity is also improving, with more frequent air and shipping links between Fujian and Taiwan. Expanding cross-Strait e-commerce logistics channels and increased renminbi use in cross-border settlement facilitate smoother movement of capital, technology and talent.

Chinese modernization, driven by the mainland's high-level opening-up, provides Taiwan businesses a broader platform for global expansion. Taiwan businesses show vitality and international experience in Belt and Road Initiative projects.

Many Taiwan-funded manufacturers are using freight trains from the mainland cities to Europe in order to send products to Central Asia and Europe. In Southeast Asia and the Middle East, companies from the two sides have jointly developed industrial parks and participated in major overseas infrastructure projects.

Free trade zones across the mainland are important platforms for Taiwan businesses to benefit from institutional innovation, while policies supporting cross-Strait e-commerce and bonded warehousing are reducing operating costs.

Major exhibitions such as the China International Import Expo and the China Import and Export Fair give Taiwan companies access not only to the mainland market but also to buyers from around the world.

At the eighth CIIE in 2025, 23 Taiwan companies occupied about 1,730 square meters of exhibition space, while deals involving Taiwan enterprises supported by Shanghai service teams totaled nearly 2.2 billion yuan.

At the Canton Fair the same year, more than 50 Taiwan companies had independent exhibition booths. Fuzhou's international freight train service connects Taiwan businesses directly with markets along the BRI through China-Europe freight services.

Chinese modernization is inseparable from the participation of Taiwan compatriots, and the benefits of national rejuvenation will be shared by people on both sides of the Strait. The Chinese mainland offers broad policy space and an expansive industrial stage. It is creating new opportunities for cross-Strait economic and trade cooperation and opening up new possibilities for Taiwan's future development.

The author is the director of the Taiwan Economic Research Institute at the Central University of Finance and Economics.

The views don't necessarily reflect those of China Daily.

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