China's launch of a controversial new flight route to Taiwan has re-ignited political tensions between both nations. At the business level, Taiwan SMEs have been relocating to China bringing their capital and talent. What is the long-term future of Taiwan? We speak with David Hong, the President of Taiwan Institute of Economic Research, at the Singapore Pacific Economic Corporation Council (PECC) conference. Hong is also the Chairman of the Chinese Taipei Committee of PECC (CTPECC).