Overview of Bilateral Trade
In 2019, Israel was Taiwan's 31th largest trading partner. Trade between Taiwan and Israel accounted for 0.28% of Taiwan's total trade. Of that figure, Taiwan’s exports to Israel made up 0.24% of Taiwan's total exports, or US$ 782 million; and Taiwan's imports from Israel were 0.34% of total imports into Taiwan, or US$991 million. Bilateral trade between Taiwan and Israel amounted to US$1.77 billion in 2019, representing an increase of 17% over the previous year which comprises an decrease of 5.25% in exports to Israel and increase of 44.67% in imports from Israel.
Main exports from Taiwan to Israel were electronic integrated circuits, parts and accessories of machines, polymers of propylene and styrene, and telephone sets. Main imports from Israel to Taiwan were optical instruments, semiconductor wafer measuring machines and electronic integrated circuits.
Overview of Bilateral Investment
According to statistics from the Investment Commission of the Ministry of Economic Affairs, 121 Israeli direct investment (FDI) cases for a total amount of US$21 million were approved from1952 to 2019. Major Israeli investments in Taiwan were in wholesale and retail and electrical equipment manufacturing.
As for Taiwan’s outward investment in Israel, 38 cases ware approved from 1952 to 2019. The approved investment amounted to US$176 million. The Taiwanese investments in Israel were in electronic parts and components manufacturing, information and communication, and scientific and technical activities.
Overview of Industrial Cooperation
So far, Taiwan and Israel have signed 25 bilateral economic and trade-related agreements, including cooperation in science and technology, agriculture, air transportation, authorized economic operator, avoidance of double taxation, mutual visa exemptions, and industrial and technological agreements. Israel is well known for its outstanding R&D ability and innovation, especially in the field of telecommunication security systems, biotechnology, water technology, and smart manufacturing. Taiwan currently cooperates actively with Israel in various innovative industries.
Future high-tech cooperation goals between our two countries can be summarized as follows: to combine the strengths of Israeli design in high-tech with Taiwan’s manufacturing ability; to initiate expert and technology exchanges between incubation centers of both sides; to form strategic alliances and carry out technology exchanges between the industries, public sectors and universities of the two countries; and to enhance industrial R&D cooperation. Strengthening the economic cooperation between the two countries will not only create benefits for both, but also build a solid foundation for a long-lasting and closer relationship.