Taipei, March 14, 2011 (CENS)--China Resources Microelectronics Ltd., currently mainland China's No.3 chipmaker, recently announced it will set up a representative office in Taiwan to explore investment opportunities and service customers, according to corporate chief executive, Deng Mao-song.
Initial investment in the office is set at NT$10 million (US$333,333 at US$1:NT$30). Once the company is approved by Taiwan government to open the office, it will become the first mainland Chinese chipmaker to tap Taiwan market, directly challenging Taiwan's silicon foundries with its less-expensive foundry service.
Cashing in on Taiwan's increasing openness to mainland China's investments and the mainland's 12th Five-year Development Plan, the mainland chipmaker decided to crack the Taiwan market. Deng said his company is mostly interested in investments in Taiwan's LED and green-energy sectors and may get involved in these Taiwan industries through stock acquisitions in private equity placement or capital increment projects. He noted that green energy will emerge as a huge market in mainland China.
Deng is a Taiwan-born executive. Before joining China Resources in 2003, he had worked at Vanguard International Semiconductor Corp. (VIS) and Ardentec Corp. of Taiwan.
China Resources now runs four operations, with its CSMC Technologies Corp. specializing in silicon foundry with three factories, China Resources Micro-Assembly Tech Ltd. adept at packaging and test service, and China Resources Semico Co., Ltd. and China Resources Huajing Micro Co., Ltd. offering chip designs.