U.S. and Taiwan announce new trade initiative

Taipei, Taiwan — The United States and Taiwan have agreed on a new trade initiative after the island was excluded from the new Indo-Pacific Economic Framework launched by President Joe Biden in May.

Officially in the 21st century, after a virtual conference between U.S. Trade Representative Sarah Bianchi and Taiwan’s chief trade negotiator John Den on June 1, according to a press conference in Taipei. A new agreement on trade, called the US-Taiwan Initiative, has been announced. June 1.

Calling the initiative “a historic breakthrough in Taiwan and the United States’ economic and trade development,” Chung said it could pave the way for trade negotiations with the United States and lead to bilateral free trade agreements. rice field. He added that this initiative would help Taiwan build economic relations with other governments in the world.

Mr. Chung said he plans to travel to Washington near the end of this month to meet face-to-face with US trade officials under the initiative.

Taiwan’s Foreign Minister Joseph Wu said the initiative was “strategic” important and would support participation in the Trans-Pacific Partnership Comprehensive and Progressive Agreement (CPTPP), a free trade agreement between 11 countries.

Wu added that Taiwan’s semiconductor and other high-tech industries have made the island a “trustworthy partner” for the United States and other countries.

The initiative demonstrates US commitment to the region, and especially economically, US officials said in a background call with the media on May 31.

“We will further strengthen this work to deepen our ties with Taiwan and the region and provide them to the people of the country and the Indo-Pacific,” said one source.

“The Biden Harris administration sees Taiwan as a major democracy, tech power, and a major economic and security partner,” officials added.

At a meeting later this month, both sides will discuss trade areas, including trade facilitation, regulatory practices, agriculture, anti-corruption, workers’ rights, non-market practices and policies, officials said.

Biden announced the US-led Indo-Pacific Economic Framework (IPEF) during his recent visit to Japan. To date, the framework consists of 14 members, including the United States, Australia, India, Indonesia, Japan, South Korea, Malaysia, Philippines, Thailand, Vietnam and Fiji. Neither China nor Taiwan is within that framework.

IPEF is widely seen as a US strategy to counter China’s influence in the Asia-Pacific region. It will also fill the regional void created when the United States withdrew from the Trans-Pacific Partnership (TPP) in 2017. TPP later changed to CPTPP.

Under this framework, member states Focusing Digital economy, supply chain issues, clean energy, fair and transparent economic policies.

Taiwan’s Ministry of Foreign Affairs has expressed “regret” for not being included in the IPEF. Mr. Chung said at a press conference on Wednesday that the Taiwanese government would continue to promote participation in the agreement.

Some Republicans have expressed dissatisfaction with the Biden administration for not including Taiwan in the framework.

“Taiwan is a high-level economy and one of our top trading partners,” said Rep. Steve Shabot (R-Ohio). I have written On Twitter. “Excluding Taiwan is an unnecessary surrender to #CCP. [Chinese Communist Party].. “

Representative Michel Steel (R-Calif.) Said On Twitter, she was disappointed by Biden for not including Taiwan “in a framework aimed at countering CCP hostility.”

“It’s timeless for the president and the world to take Taiwan’s role seriously on the world stage,” Steele added.

Taiwan’s participation in IPEF is supported by politicians on both sides of the aisle.A bipartisan group of over 50 senators on May 18, before the framework began. Wrote a letter to BidenAsks the President to include Taiwan in the IPEF.

At a briefing on Tuesday, senior government officials suggested that Taiwan could participate in the future.

“We will continue to pursue a flexible and adaptable approach to participation in IPEF,” said one official.

After Washington ended diplomatic relations with Taipei in 1979 and supported Beijing in 1979, the United States is no longer an official diplomatic ally of Taiwan. An island with military equipment for self-defense.

Washington and Taipei are currently involved under a framework known as the Technology Trade and Investment Cooperation (TTIC), which began in December following a virtual meeting between U.S. Secretary of Commerce Gina Raimondo and Taiwan’s Economic Minister Wang Mika. ..

In addition, the Department of State also hosts the Economic Prosperity Partnership Dialogue (EPPD) for both sides to participate in high-level economic negotiations. The first dialogue took place in November 2020.

Frank Fang


Frank Fang is a Taiwan-based journalist. He covers news from the United States, China and Taiwan. He holds a master’s degree in materials science from Tsinghua University in Taiwan.

Posted on