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Taipei [Taiwan], December 12 (ANI): The first agreement under the US-Taiwan Initiative on 21st Century Trade officially took effect on Wednesday, marking a major step forward in strengthening the economic and trade ties between Taiwan and the United States, Taipei Times reported.
This agreement addresses various crucial aspects of trade, including customs administration, trade facilitation, regulatory practices, and anti-corruption efforts, among others. The Office of Trade Negotiations described the pact as a "significant milestone" in bilateral relations, with both sides already in discussions to ensure the full implementation of the agreement's provisions.
The deal includes key commitments aimed at enhancing cooperation in areas such as domestic service industries and the promotion of small and medium-sized enterprises (SMEs). As part of the agreement, committees on trade facilitation and good regulatory practices will be established, while a liaison mechanism will be set up for SMEs to improve communication and coordination.
Both sides have emphasised the importance of continuing dialogue to address any concerns and facilitate the smooth implementation of the agreement's terms, reported Taipei Times.
US Trade Representative Katherine Tai highlighted the importance of the agreement, noting that its entry into force is a significant step in strengthening US-Taiwan economic relations. "We thank our Taiwan partners for helping us reach this important milestone.
The entry into force of the first agreement under our 21st Century Trade Initiative represents an important step forward in strengthening the US-Taiwan economic and trade relationship," Tai said in a statement. The agreement also received bipartisan support in the US Congress, which reviewed and approved it without objections in July, providing a legal framework for the enhanced trade exchanges between Taiwan and the US.
In addition to the initial agreement, both parties are making progress on a second agreement under the Initiative, which is expected to cover additional areas such as labour, the environment, and agriculture. Negotiations on this second pact are ongoing, with both governments optimistic about its completion.
The US-Taiwan Initiative on 21st Century Trade was launched in June 2022, and the first agreement marks the most comprehensive trade deal between the two nations since 1979. Taiwan's trade office expressed confidence that this agreement would serve as a "building block" towards a potential free-trade agreement in the future, Taipei Times reported.
Premier Cho Jung-tai, speaking to the media ahead of a forum with business leaders, called the day a "significant" one for Taiwan-US relations, emphasising that it reflected both countries' commitment to strengthening bilateral cooperation across various sectors. (ANI)