Taiwan and the US yesterday announced that they would commence negotiations on a new trade agreement, dubbed the “Taiwan-US Initiative on 21st-century Trade,” signaling a breakthrough after Taiwan was excluded from a US-led regional trade framework.
The first round of negotiations would be held in Washington at the end of this month, Minister Without Portfolio John Deng (鄧振中) told a news conference in Taipei, adding that he would head the Taiwanese delegation to the US.
Deng made the announcement after an online meeting with Deputy US Trade Representative Sarah Bianchi, in which the two sides agreed on the initiative’s name.
Photo: Lee Hsin-fang, Taipei Times
The negotiations would cover 11 areas, but would not include tariffs, Deng said.
The 11 areas include trade facilitation, agricultural trade, fighting corruption, common standards on digital trade, workers’ rights, environmental regulations and state-owned companies, Deng said.
The bilateral initiative largely parallels US President Joe Biden’s Indo-Pacific Economic Framework (IPEF), an economic partnership with 13 Asian countries that he launched last week during a visit to Seoul and Tokyo. Taiwan was not included, although more than 200 members of the US Congress had called for its inclusion.
Deng said that although some of the initiative’s areas would overlap with those in the IPEF, Taiwan would continue working toward joining the regional agreement.
“For many years we have been hoping to launch trade talks with the US, and now the trade talks can officially begin,” Deng said. “This initiative provides us with a mechanism for talks, and Taiwan and the US aim to reach agreements on some topics and sign some agreements in the shortest possible time.”
Meanwhile, the two sides would continue the current Trade and Investment Framework Agreement (TIFA) talks, Deng said, adding that negotiations under the new initiative are intended to lead to the inking of new trade agreements, while TIFA talks focus on solving trade-related disputes.
The talks with Taiwan, led for Washington by the US Trade Representative’s office, would supplement several existing dialogues with Taipei, including one led by the US Department of Commerce on export controls and other supply chain issues, a US official said.
Like the IPEF, the initiative with Taiwan would not need US congressional approval because it would not include market access requirements or reduced tariffs, the official added.
The so-called US “fast track” negotiating authority for major trade agreements expired in July last year, and the Biden administration has not asked the US Congress to renew it.
“We think there’s a lot of robust areas that we can cover, that would really deepen our economic engagement, our economic ties, without dealing with market access issues, but, of course, obviously, we’re not ruling anything out for the future,” the official said.
A second official said the new initiative added to other efforts to “highlight the US commitment to the region, specifically economically.”
The US had lacked an economic pillar to its Indo-Pacific engagement since former US president Donald Trump quit a multinational trans-Pacific trade agreement, in part out of concern over US jobs.
DEPARTMENT OF DEFENSE: China might impose a blockade, conduct limited force operations, use an air and missile campaign, or resort to an invasion, the report said The US Department of Defense has identified four possible military courses of action that China could take against Taiwan, but did not offer any guess on when Beijing might be ready to act. In an annual report to the US Congress released on Tuesday titled Military and Security Developments Involving the People’s Republic of China 2022, the department gave a broad overview of China’s military capabilities, strategy, ambitions and intentions. The report devoted significant space to developments related to Taiwan, against which it said China had intensified diplomatic, economic, political and military pressure last year. For example, the Chinese People’s Liberation Army (PLA)
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is planning to offer advanced 4-nanometer chips when its new US$12 billion plant in Arizona opens in 2024, an upgrade from its previous public statements, after US customers such as Apple Inc pushed the company to do so, according to people familiar with the matter. TSMC is expected to announce the new plan when US President Joe Biden and US Secretary of Commerce Gina Raimondo visit the facility near Phoenix for a ceremony on Tuesday next week, the people said. The TSMC plant had been slated to make 5-nanometer semiconductors, a standard that would be far
Taipei on Friday rejected Hanoi’s characterization of its recent live-fire drill near Itu Aba Island (Taiping Island, 太平島) as “illegal,” saying that Taiwan’s claim to the small island in the South China Sea was “unquestionable.” The Ministry of Foreign Affairs (MOFA) said in a statement that the comments made by its Vietnamese counterpart about the military’s routine live-fire drills near Itu Aba on Tuesday were “unacceptable.” Earlier on Friday, Vietnamese Ministry of Foreign Affairs spokeswoman Le Thi Thu Hang called Taiwan’s military activity “a serious violation of Vietnam’s territorial sovereignty,” saying it had caused tensions and complicated the situation in the region. Hang
Chinese universities sent students home and police fanned out in Beijing and Shanghai to prevent more protests yesterday after crowds angered by severe anti-virus restrictions called for Chinese President Xi Jinping (習近平) to resign in the biggest show of public dissent in decades. Authorities have eased some controls after demonstrations in at least eight mainland cities and Hong Kong — but showed no sign of backing off their larger “zero COVID” strategy that has confined millions of people to their homes for months at a time. Security forces have detained an unknown number of people and stepped up surveillance. With police out
RSS