Taiwan's largest textile producer, Far Eastern Textile Corp (FET), has revealed it intends to vertically integrate its production operations in China following the success of a similar model at its factories in Taiwan.

FET is currently China's second largest polyester maker with an annual production capacity of 350,000 metric tons and over the past few years has invested in Taiwanese spinning and garment plants as well as in producers of raw material for polyester production.

The company, which can also churn out 790,000 metric tons of polyester a year at its Taiwan facilities, now plans to copy that integrated production model on the mainland after it helped boost its 2001 profits at its island operations despite last year's economic slowdown.