Taiwan Merger Control: A Brief Overview

I. Introduction

With economic recoveries, corporate minds often turn to thoughts of merger. Companies that have survived hard economic times think about what bargains they can strike with regards to market share and key technologies, or even to complete previously unfinished business. With Taiwan a regional technology hub with strong cross-strait ties to mainland China manufacturing, Taiwan often shows up on multijurisdictional merger-control hit lists. Following is a brief of some things to consider with regards to Taiwan’s merger-control scheme and its notification and approval requirements.

II. Thresholds For Merger Notification

Merger control in Taiwan is regulated under the Fair Trade Law (FTL), under which the competent authority for antitrust matters, including merger control, is the Fair Trade Commission (FTC). Under FTL Article 6, mergers are broadly defined beyond typical mergers and acquisitions to include joint operations or control of business.