Us Taiwan Free Trade Agreementadmin
Has the bilateral environment for a free trade agreement between Taiwan and the United States ever been stronger? At least half of the U.S. Senate thinks the time has come and sends a joint letter to U.S. Trade Representative Bob Lighthizer asking him to start negotiations. Republican Congressman Michael McCaul told Reuters in September that a trade deal with Taiwan was “very important” on the Trump administration`s radar screen. Days later, a group of 42 Republican senators and eight Democratic senators asked Mr. Trump to begin negotiations for a bilateral trade deal with Taiwan. A friend of the Taiwanese government said the island could lose its competitiveness if it were excluded from trade agreements. Taiwan is not part of ASEAN and its participation in regional or bilateral trade agreements can easily be blocked by China. Taiwanese companies need an international trade portal. However, there was no immediate response from the Office of the U.S. Trade Representative (USTR), which would be responsible for all BTA discussions. The president of the U.S.
The S.-Taiwan Business Council, Rupert Hammond-Chambers, warned that when it comes to a BTA, “the point of friction will be usTR, which has opposed the extension of trade relations with Taiwan since at least 2016. They also attach more importance to China`s trade relations and mistakenly believe that they must choose between the two. Taiwan`s Foreign Ministry also said Sunday that it would continue its initiative to join the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) agreement, an agreement that grew from the trans-Pacific Partnership (TPP) abandoned after the United States withdrew from the agreement. Even if Taiwan were to insist on a trade pact with Trump officials, it appears that a Biden administration will support new trade negotiations with Taiwan. And from the U.S. perspective, a free trade agreement with Taiwan would also bring modest economic benefits. The IMF has put Taiwan`s economy in place. Its GDP of nearly $600 billion lies between Switzerland and Poland. But this underestimates its commercial role: Taiwan is America`s tenth largest trading partner, ahead of India or France. On Friday, Taiwanese President Tsai Ing-wen announced that her government would relax import restrictions on U.S. pork and beef, removing one of the main obstacles to a bilateral free trade agreement between the United States and Taiwan.