Foxconn Undergoes Tax and Resources Inspections in Multiple Chinese Provinces

Foxconn recently had its offices in Guangdong and Jiangsu probed by tax officials, according to the Chinese state-run newspaper Global Times. Simultaneously, the Ministry of Natural Resources inspected locations in Henan and Hubei, where the tech giant operates major factories.

With hundreds of thousands of workers employed across China, Foxconn. a Fortune 500 company globally recognized for manufacturing Apple iPhones, plays a significant role in the country's manufacturing landscape.

Taiwan-funded Enterprises' Responsibilities

An expert quoted in the report by Reuters emphasized that Taiwan-funded companies, including Foxconn, should benefit from their investments and fulfill their social responsibilities, promoting peaceful cross-strait relations.

Tensions between China and Taiwan have escalated over the years. China claims Taiwan as a part of its territory, although the two sides have had no official relations since a civil war split them in 1949. Despite the ongoing tensions, both regions share substantial trade and investment ties amounting to billions of dollars.

While China has previously restricted imports of agricultural products from Taiwan, the mainland operations of Taiwanese companies have largely remained unaffected, including Foxconn, which conducts most of its manufacturing within China.

Japan Today noted that, as of now, no specific details regarding the searches have been disclosed, including the timing or findings of the investigation. Foxconn has not provided a comment on the matter.

Impact on Cross-Strait Relations

The Chinese Communist Party often reinforces its position on Taiwan with military exercises near the island. It emphasizes that the reunification of Taiwan with the mainland is an obligation, even by force, if necessary.

Notably, Foxconn's founder, Terry Gou, has stepped into the political arena as a candidate for Taiwan's upcoming presidential elections. Gou's pro-China politics align closely with the Kuomintang, Taiwan's opposition party.

The expert's statement serves as a reminder that as Taiwan-funded enterprises thrive in mainland China, they are responsible for positively contributing to the cross-strait relationship's peaceful development.

Photo: Nadkachna/Wikimedia Commons(CC BY 3.0)