Taiwan will push free trade zones after WTO entry

Taiwan will resume bilateral negotiations with the developing countries in the WTO once it becomes a member, in order to push forward with the formation of free trade zones, according to economics vice minister Lin Yi-fu (林義??/CHINESE>).

Lin was quoted yesterday in Seattle as saying that reaching agreements with those countries to reduce tariffs and provide technology transfers could improve the economies of developing countries by helping boosting their exports -- a move in keeping with the WTO's new agenda.

The draft declaration for this week's WTO ministerial meeting in Seattle includes an agenda of special treatments to help developing countries boost their exports. Therefore, Lin said, the Ministry of Economic Affairs would consider expanding its cooperation with these countries based on the current WTO free trade agreements.

According to Lin, negotiations on forging free trade zones with some nations -- including Panama, Taiwan's five Central American allies and Macedonia -- that were suspended last July would be resumed next year after Taiwan's accession to the WTO.

Lin said that whether Taiwan would apply most favored nation trade status to these countries would be discussed with the Ministry of Finance and the Council of Agriculture.

However, Lin Hsiang-kai ( [林|V愷), an economist at the National Taiwan University, is doubtful that such trade pacts with these countries would really be of interest to Taiwanese firms.