El Salvador's approval on Friday of a free-trade agreement (FTA) with Taiwan means the Central American country will eventually enjoy tariff-free privileges for sugar exports of up to 60,000 tonnes to Taiwan.
The FTA is expected to take effect on Jan. 1 next year if the Legislative Yuan approves it by the end of the year.
In addition to the deal with El Salvador, Taiwan has signed FTAs with Panama, Guatemala, Nicaragua and Honduras, with some pending legislative approval.
Since the FTA with Panama took effect, Minister of Economic Affairs Steve Chen (
Trade with Guatemala has grown by 25 percent since the pact took effect six months ago, he said.
He said he expected trade with El Salvador to grow substantially after the FTA becomes effective.
El Salvadoran President Antonio Saca and President Chen Shui-bian (
Chen Shui-bian, visiting El Salvador on the second leg of his three-nation trip to Central America, said at the press conference he hoped the legislature would review the FTA as soon as possible in the next legislative session.
Describing Taiwan as a "good friend" and "brother," Saca said the FTA was a testimony to the two countries' firm ties.
Under the FTA's framework, Steve Chen said that El Salvador would enjoy tariff-free privileges for sugar exports up to 35,000 tonnes for the first year.
The amount will increase to 50,000 tonnes of sugar for the second year and 60,000 tonnes for the third.
Taiwan's consumes 500,000 tonnes to 600,000 tonnes of sugar per year, with approximately 60,000 tonnes coming from local suppliers and the rest mostly from Thailand and Australia.
Steve Chen said tariff-free sugar imports from El Salvador would not jeopardize local sugar cane farmers because the government has a purchasing system in place to protect their interests.
Because El Salvador is a member of the Dominican Republic-Central American Free Trade Agreement (DR-CAFTA), which took effect in El Salvador in March last year, Steven Chen said that Taiwanese businesses operating in El Salvador were entitled to trade benefits with the US.
DR-CAFTA includes the US, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and the Dominican Republic.
Signing FTAs helps lower prices and increase trade volume, Steve Chen said.
In addition to sugar, he said there was plenty of room for imports of El Salvadoran coffee. Taiwan's coffee imports totaled US$32 million last year, with US$3 million, or 11 percent coming from Central American countries.
The Taiwan-El Salvador FTA covers agriculture, manufacturing and the service sector.
Also see story:
El Salvador vows firm ties with Taiwan
CALL FOR SUPPORT: President William Lai called on lawmakers across party lines to ensure the livelihood of Taiwanese and that national security is protected President William Lai (賴清德) yesterday called for bipartisan support for Taiwan’s investment in self-defense capabilities at the christening and launch of two coast guard vessels at CSBC Corp, Taiwan’s (台灣國際造船) shipyard in Kaohsiung. The Taipei (台北) is the fourth and final ship of the Chiayi-class offshore patrol vessels, and the Siraya (西拉雅) is the Coast Guard Administration’s (CGA) first-ever ocean patrol vessel, the government said. The Taipei is the fourth and final ship of the Chiayi-class offshore patrol vessels with a displacement of about 4,000 tonnes, Lai said. This ship class was ordered as a result of former president Tsai Ing-wen’s (蔡英文) 2018
‘SECRETS’: While saying China would not attack during his presidency, Donald Trump declined to say how Washington would respond if Beijing were to take military action US President Donald Trump said that China would not take military action against Taiwan while he is president, as the Chinese leaders “know the consequences.” Trump made the statement during an interview on CBS’ 60 Minutes program that aired on Sunday, a few days after his meeting with Chinese President Xi Jinping (習近平) in South Korea. “He [Xi] has openly said, and his people have openly said at meetings, ‘we would never do anything while President Trump is president,’ because they know the consequences,” Trump said in the interview. However, he repeatedly declined to say exactly how Washington would respond in
WARFARE: All sectors of society should recognize, unite, and collectively resist and condemn Beijing’s cross-border suppression, MAC Minister Chiu Chui-cheng said The number of Taiwanese detained because of legal affairs by Chinese authorities has tripled this year, as Beijing intensified its intimidation and division of Taiwanese by combining lawfare and cognitive warfare, the Mainland Affairs Council (MAC) said yesterday. MAC Minister Chiu Chui-cheng (邱垂正) made the statement in response to questions by Democratic Progressive Party (DPP) Legislator Puma Shen (沈柏洋) about the government’s response to counter Chinese public opinion warfare, lawfare and psychological warfare. Shen said he is also being investigated by China for promoting “Taiwanese independence.” He was referring to a report published on Tuesday last week by China’s state-run Xinhua news agency,
‘ADDITIONAL CONDITION’: Taiwan will work with like-minded countries to protect its right to participate in next year’s meeting, the foreign ministry said The US will “continue to press China for security arrangements and protocols that safeguard all participants when attending APEC meetings in China,” a US Department of State spokesperson said yesterday, after Beijing suggested that members must adhere to its “one China principle” to participate. “The United States insists on the full and equal participation of all APEC member economies — including Taiwan — consistent with APEC’s guidelines, rules and established practice, as affirmed by China in its offer to host in 2026,” the unnamed spokesperson said in response to media queries about China putting a “one China” principle condition on Taiwan’s
RSS