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March 9, 2011

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TAIWAN is allowing local liquid crystal display makers to build advanced 8.5-generation plants on the Chinese mainland, the island authorities said yesterday, amid rising trade ties between the two sides.

The move may help Taiwan's LCD companies maintain their competitive edge against South Korean rivals, including Samsung Electronics Co and LG Display Co.

Taiwan will now let local LCD makers to build mainland plants that use the same-generation technology as their facilities on the island - provided they also develop later-generation plants on the island.

Taiwan previously allowed LCD makers to set up mainland factories only if they were at least one generation behind their island plants.
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