MOEA Adjusted the Restrictions on Technical Cooperation in the Mainland Area by Amending Articles 5 and 10 of the Regulations Governing the Approval of Investment or Technical Cooperation in Mainland China (Taiwan)

June 2022

Teresa Huang and Jack Hsieh

The Ministry of Economic Affairs (hereinafter, the “MOEA”) announced the draft Amendments to Articles 5 and 10 of the “Regulations Governing the Approval of Investment or Technical Cooperation in Mainland China”(hereinafter, the “Regulation”) (Taiwan) on October 15, 2021 (see the Firm’s Newsletter titled The Ministry of Economic Affairs adjusts restrictions on technical cooperation to Mainland China — Announce Draft Amendment to Articles 5 and 10 of the “Regulations Governing the Approval of Investment or Technical Cooperation in Mainland China” (Taiwan) in December 2021 ).

The MOEA subsequently officially promulgated the Amendment to the Articles 5 and 10 of the Regulation on April 21, 2022.  In addition to the content of the original draft amendments, the development of emerging technologies such as artificial intelligence or software programming were also considered, and it is specifically provided that only the assignment or licensing of computer programs shall be the technical cooperation that requires ex ante approval to avoid the risk of leaking key technologies.

See the content of the announcement of the Investment Commission of the MOEA on April 21 at: https://www.moeaic.gov.tw/news.view?do=data&id=1610&lang=ch&type=new_ann