Fujian: a pilot area for 5G cooperation with Taiwan

chinadaily.com.cn| Updated: Nov 7, 2019


Fujian is the ideal province to carry out cooperation in 5G with Taiwan. Photo/VCG]

East China's Fujian province is expected to serve as a testing ground for Taiwan-funded enterprises looking to take part in the mainland's 5G industry, local media reported.

Fujian province, a demonstration zone for the development of a "Digital China", is seen as a leader in China's digital economy. In 2018, the province's digital economy was valued at 1.42 trillion yuan ($202.34 billion), ranking seventh in the Chinese mainland and accounting for 39.8 percent of Fujian's annual GDP. 

5G, the latest mobile communications technology, is regarded as a new growth engine of the digital economy and a driving force behind industrial transformation and upgrading. The newly released "26 measures", which allow Taiwan-funded companies to take part in some of the mainland's key industries, including technical equipment, 5G, and civil aviation, will help Fujian become a testing ground for Taiwan companies looking to participate in the mainland's 5G industry.

Fujian has beefed up efforts to establish a 5G industrial ecosystem and an innovative 5G platform with national influence. By 2020, the province plans to build 10,000 5G base stations, and by 2022, it hopes to have 50,000 stations. The output value of 5G-related industries in the province is expected to exceed 300 billion yuan by 2022.

Fujian's 5G industry has promising future growth potential, and Taiwan is extremely competitive in the mobile communications and information industries. Their partnership is expected to produce enormous business opportunities for Taiwan's 5G enterprises, and Fujian plans to implement measures to encourage Taiwan firms to take part in the development of the mainland's 5G network.

Fujian will encourage Taiwan firms to help build 5G base stations and supporting facilities in accordance with the principle of a market economy. Taiwan enterprises registered in Fujian will receive special funds for researching and developing applications for 5G products. In the future, more innovative Taiwan companies and high-level 5G talents will be brought onboard, and Fujian will encourage Taiwan firms to participate in 5G-related activities such as exhibitions and exchanges in order to promote their 5G products and services.

Supported by a strong foundation for industrial cooperation and a series of preferential policies, cooperation between Fujian and Taiwan in 5G is expected to bring the two sides closer together and benefit both sides of the Straits.