The Pearl River Delta is the first station for Taiwan funded enterprises to enter the mainland. After several years of industrial pformation and the north extension market, most of the Taiwan enterprises' headquarters remain in the Pearl River Delta.

Will Foxconn move northward to make Taiwanese businessmen think that the investment environment in the PRD has changed? Ye Chunrong said with a smile, "it will not be so serious. If a Foxconn migrate to Taiwan, it will generate psychological pressure on Taiwan businessmen, and our economy will be too fragile."

Most of them are labor-intensive enterprises.

For example, he analyzed that Yuyuan shoes factory in Dongguan was the first branch factory established by Taiwan Baocheng group, a shoe making giant, and moved away from Dongguan two years ago.

The actual situation is that shoe factories continue to expand northward.

In addition, the world's largest switching power supplier and fan product leader Delta Electronics also entered the Dongguan in 1992 and continued to set up factories in Jiangxi, Hunan and Tianjin.

Ye Chunrong said that the expansion of Taiwan enterprises in the North has been a lot in recent years. Most of them are pferring high energy consumption and labor intensive parts to neighboring Jiangxi Ganzhou and Hunan Chenzhou, but headquarters remain in Dongguan.

Ye Chunrong's company is also expanding in the north, talking about the actual effect of the North expansion. He said: "at least the impact of employment will not be so great."

Zhao Weinan, Secretary General of the Dongguan Association of Taiwanese businessmen, also said that the basic headquarters of North expansion enterprises are still in Dongguan, unless the Taiwanese enterprises that can not survive can move to the north, such as the highly polluting electroplating industry which is strictly prohibited by the Dongguan government, or there are other plans for enterprises.

Taiwan businessmen love the Pearl River Delta.

After the expansion of Taiwan enterprises, the scale of production has expanded several times. For example, Guo Shanhui, a global furniture giant, has several times larger factories in Jiashan, Zhejiang than Dongguan's Taiwan furniture.

Ye Chunrong's factory in Wuxi is also several times higher, producing high-tech parts; the Chenzhou branch is a small factory, making things simple and using the local surplus labor force to take care of children instead of going out.

"It's not easy for an enterprise to move," Zhao Weinan said.

Moreover, Taiwan businessmen not only like the industrial supporting environment of the Pearl River Delta, but also adapt to the living environment here.

At the same time, the service provided by the Dongguan government is difficult to achieve in other places. For instance, every month, the foreign liaison and coordination committee will be able to solve the policy problems.