The Sunflower movement helped block the passage of the non-transparent service trade agreement last year and the general view was that it was unlikely President Ma Ying-jeou (馬英九) could push through the agreement on the trade of goods with China.
However, things have changed in the past few days. The 11th round of bilateral talks between Taiwan and China on the trade of goods took place in Beijing this week, and on Tuesday, China’s Taiwan Affairs Office spokesperson Ma Xiaoguang (馬曉光) said the two sides have agreed to speed up discussions and hope negotiations will be concluded by the end of the year.
This is the first time a concrete timetable has been given for the talks. Taiwanese officials have also said that talks will be concluded by that time.
There are three reasons for the change. The first is geopolitical concerns. Talks over the Trans-Pacific Partnership are to resume this month and it is likely that an agreement will be reached before the year is over, with Taiwan expected to join the second round of talks next year. Faced with a possible transition of power in Taiwan, China wants the Ma administration to pass the service trade and trade in goods agreements before he steps down so that Taipei is firmly locked into the cross-strait economic integration framework.
The second reason is the differing fortunes of the pan-blue and pan-green camps. Beijing originally hoped to use big business to pressure the next government into continuing talks over the trade in goods agreement and then tie the agreement to the so-called “1992 consensus” and the “one China” principle to force its acceptance.
However, recent political developments, including the dim outlook for Chinese Nationalist Party (KMT) presidential candidate Hung Hsiu-chu (洪秀柱), is making it more difficult for Beijing to get what it wants. China would prefer that the trade in goods agreement was firmly in place, rather than pursuing political and economic issues.
The third reason is that both the government and the opposition have relaxed their stances on the view, which they had reached following the Sunflower movement, that an act supervising cross-strait agreements should be passed before the service trade agreement would be reviewed.
When the protesters vacated the main chamber of the Legislative Yuan on April 10 last year, they issued a statement demanding that “the Ma administration should not be allowed to negotiate or sign any agreements with China before passing the act [supervising cross-strait agreements].”
Even China’s Association for Relations Across the Taiwan Straits Chairman Chen Deming (陳德銘) has said that the passage of the trade in goods agreement would depend on whether Taiwan passed a supervisory act.
However, the tolerant attitudes of Legislative Speaker Wang Jin-pyng (王金平) and the Democratic Progressive Party (DPP) toward the signing of taxation and flight safety agreements has led Beijing to re-evaluate the situation. It now thinks that the trade in goods pact can be signed without causing a backlash in Taiwan, even without a supervisory act having been passed.
Democracy is once again under threat. Taiwanese have repeatedly said that there would be no trade talks without participatory democracy and there would be no regional trade agreement without measures to promote social unity that would have an impact on distributive justice.
The talks over the trade in goods agreement must be halted.
Lai Chung-chiang is convener of the Economic Democracy Union.
Translated by Perry Svensson
When it became clear that the world was entering a new era with a radical change in the US’ global stance in US President Donald Trump’s second term, many in Taiwan were concerned about what this meant for the nation’s defense against China. Instability and disruption are dangerous. Chaos introduces unknowns. There was a sense that the Chinese Nationalist Party (KMT) might have a point with its tendency not to trust the US. The world order is certainly changing, but concerns about the implications for Taiwan of this disruption left many blind to how the same forces might also weaken
As the new year dawns, Taiwan faces a range of external uncertainties that could impact the safety and prosperity of its people and reverberate in its politics. Here are a few key questions that could spill over into Taiwan in the year ahead. WILL THE AI BUBBLE POP? The global AI boom supported Taiwan’s significant economic expansion in 2025. Taiwan’s economy grew over 7 percent and set records for exports, imports, and trade surplus. There is a brewing debate among investors about whether the AI boom will carry forward into 2026. Skeptics warn that AI-led global equity markets are overvalued and overleveraged
Japanese Prime Minister Sanae Takaichi on Monday announced that she would dissolve parliament on Friday. Although the snap election on Feb. 8 might appear to be a domestic affair, it would have real implications for Taiwan and regional security. Whether the Takaichi-led coalition can advance a stronger security policy lies in not just gaining enough seats in parliament to pass legislation, but also in a public mandate to push forward reforms to upgrade the Japanese military. As one of Taiwan’s closest neighbors, a boost in Japan’s defense capabilities would serve as a strong deterrent to China in acting unilaterally in the
Taiwan last week finally reached a trade agreement with the US, reducing tariffs on Taiwanese goods to 15 percent, without stacking them on existing levies, from the 20 percent rate announced by US President Donald Trump’s administration in August last year. Taiwan also became the first country to secure most-favored-nation treatment for semiconductor and related suppliers under Section 232 of the US Trade Expansion Act. In return, Taiwanese chipmakers, electronics manufacturing service providers and other technology companies would invest US$250 billion in the US, while the government would provide credit guarantees of up to US$250 billion to support Taiwanese firms