Taiwan’s Investment Commission has ordered the New York-listed e-commerce giant Alibaba Group to pay a fine of US$3,800 and withdraw its Taiwan operations within six months. The government’s investment regulator deems Alibaba a “Chinese company” after reviewing its post-IPO shareholding structure, which violates government restrictions on companies with Chinese ownership.
Alibaba’s B2B trading platform, Alibaba.com, established its Taiwan branch in 2008 through Alibaba.com Singapore, a subsidiary of Alibaba.com Ltd. The company entered the market prior to the Taiwanese government’s acceptance of direct investment from mainland Chinese companies. Alibaba reportedly has around 300,000 customers from Taiwan.
Source: Business Strategies Group, Hong Kong – www.bsgasia.com