Negotiations over US tariffs on Taiwan involve “give and take” from both countries, Deputy Minister of Foreign Affairs Chen Ming-chi (陳明祺) said yesterday, adding that the talks are ongoing and progressing well.
He made the remarks to reporters at the Legislative Yuan before attending a Foreign Affairs and National Defense Committee meeting.
US President Trump this month began sending letters to countries about new tariff rates to take effect on Aug. 1, but Taiwan has not received a letter, prompting legislators to question government officials about the negotiations.
Photo: George Tsorng, Taipei Times
“There are many sensitive issues discussed during the negotiations, and both sides have some ‘give and take,’” Chen said.
“The negotiation process is ongoing,” he said, adding that the government can assure the public that the talks would protect national interests, industry interests, public health and food security.
“We have achieved good progress in some substantive issues,” he added. “But generally speaking, we are still in the negotiating process, so there are many details that we cannot disclose yet.”
Asked by reporters if the tariff could be higher than 32 percent the US announced on April 2 before it was suspended for 90 days, Chen said: “We are not sure yet, but I believe there is hardly a country in the world that knew exactly the tariff rate that would be imposed right after a trade talk.”
“I can only say both sides can see mutual sincerity,” he added
“We cannot say we are positive [about the outcome], but we are doing our best in the negotiations,” he added.
Deputy Trade Representative Yen Huai-shing (顏慧欣) told lawmakers that Taiwan was one of the first countries to begin trade talks with the US.
Three in-person talks were held in Washington on May 1, June 25 and Tuesday last week, in addition to several videoconference sessions, she said, adding that the negotiating teams on both sides affirm the progress that has been made.
Taiwan and the US have also reached a preliminary understanding on the next date for in-person trade talks, but as “many countries are queuing to hold talks ... our goal is to reach an agreement before Aug. 1 and strive for the best tariff for our industries and national interests,” Yen said.
Chinese Nationalist Party (KMT) Legislator Ma Wen-chun (馬文君) said that Taiwan is hoping that its tariff would not be higher than that imposed on Japan, South Korea and some Southeast Asian countries, especially in competing industries.
Taiwan has yielded in many aspects to the US, she said, asking Yen to elaborate on what impacts Taiwan might face.
Taiwan hopes to achieve a tariff rate no higher than that which Japan and South Korea face, so this is an important goal for the negotiations, Yen said.
Trump on Monday last week announced a 25 percent tariff on goods imported from Japan and South Korea.
KMT Legislator Hsu Chiao-hsin (徐巧芯) asked what the bottom line is for Taiwan’s trade talks with the US, and whether it would allow imports of US beef and pork without requiring ractopamine or genetically modified food product labels.
Every country has a duty of confidentiality about the talks, but Taiwan’s bottom line for negotiations includes protecting the nation and its industries’ interests, food security and public health, Yen said.
Separately, the Ministry of Labor yesterday said its latest survey showed that 56 companies have asked a total of 1,417 workers to take unpaid leave or reduce their working hours, claiming US tariff impacts.
There are 179 companies that have asked 3,196 workers to take unpaid leave or reduce working hours under mutual consent, up by eight companies and 318 workers from July 1, the ministry said.
On an annual basis, the latest numbers are 49 companies and 665 workers fewer than the same time last year, it added.
Additional reporting by Lee Ching-hui
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