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*Taiwan Chung Hsing Paper Corporation> History> Development of the Paper Industry in Taiwan

Development of the Paper Industry in Taiwan
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The development of the paper industry in Taiwan can be roughly divided into the following eras:
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1919 *  In the 8th year of the Taisho Period (1919) the Japanese government established the Taiwan Paper Co., Ltd. , a company making different types of yellow cardboards with rice straw, on the Shihlin Street, Suburban of Taipei.
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1927   In the 2nd year of the Showa Period (1927) San Ya Paper Co., Ltd. was set up in Erjie, Yilan County. After its reorganization to become Taiwan Paper Material Research Institute in the 5th year of the Showa Period, Hagiwara Tetsuzou succeeded in producing paper pulp by processing crushed sugarcane with heavy magnesium sulfate. The Crushed Sugarcane Research Institute was again turned into Taiwan Paper Co., Ltd. and began to mass-produce white notebook paper and the Taiwanese paper industry took a better turn.
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 1930   Around the 5th year of the Showa Period (1930), under the impact of world recession and the demand brought by Japanese government’s aggressive strategy of “industrial immigration,” Taiwan became a forward base for Japan. As a result, the Taiwan Governor’s Office created the Taiwan Hsing Yeh Co., Ltd. and started to use crushed sugarcane from sugar factories as raw material for papermaking. This recycling technique became the earliest record of recycled paper making in Taiwan.
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1937~1944   From the 12th to the 17th year of the Showa Period, new paper mills were set up one after another. The ones of large scales include Taiwan Paper Pulp Co., Ltd. (the 12th year of the Showa Period (1937)), Yanshuigang Paper Pulp Co., Ltd. (the 13th year of the Showa Period (1938)), Far Eastern Paper Co., Ltd (January of the 19th Year of the Showa Period (1944)), and Guanshan Paper Pulp Factory.
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1944   The Nationalist government created the “Taiwan Investigation Committee” in Apr. 17, 1944 to make plans for handover of Taiwan and training required administrative personnel. Again in Nov. 1945, the “Taiwan Handover Committee” was formed to be responsible for taking over the Taiwan Governor’s Office’s businesses. Two major agencies were established to take over Japanese property – the Nationalist Government Resources Committee” and the “Taiwan Province Chief Administrative Officer’s Office”. The former took over Taiwan Power Company, Taiwan Sugar Company, Taiwan Fertilizer Company, Taiwan Cement Company, Taiwan Soda Company, and Taiwan Machinery Company that were to be placed under central government’s jurisdiction. The latter took over the Preparatory Office for China Petroleum Company’s Kaohsiung Refinery and Taiwan Oil Factory, Preparatory Office for Taiwan Aluminum Company, and Preparatory Office for Taiwan Gold and Copper Mining Company that were to be run by the provincial government.
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1958   Based on a resolution achieved at a shareholder meeting on Dec. 1, 1958, Taiwan Paper Company decided for each of its paper mill to operate independently. However, failing to find private investors to take over Luodong Factory and Lintienshan Forest, Bank of Taiwan took them over with capital partially acquired from other government enterprises. Since government shares accounted for more than three quarters, these two operations went from private ownership to the provincial government and became Chung Hsing Paper Corporation on Nov. 7, 1959. In the 1960s, the corporation ranked No. 1 both in production and sales in the Taiwanese paper industry.
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