WASHINGTON (AP) — The United States has reached a modest trade deal with Taiwan, giving Washington support for island democracy as it comes under increasing pressure from China.
The first deal under the US-Taiwan initiative on 21st century trade is expected to pave the way for a bigger deal later — “a robust and high-quality trade deal,” said US trade envoy Katherine Tai.
The initiative announced Thursday will, among other things, reduce red tape at customs and shorten waiting times for US companies bringing products to Taiwan. It also commits the US and Taiwan to take measures to combat bribery and other forms of corruption and encourage more trade between small and medium-sized businesses.
The agreement does not require congressional approval. But there has broad bipartisan support in Washington for Taiwan, an island of 23 million that split from China in 1949 when the communists took over the mainland and has since developed into a prosperous democracy. Beijing is considering Taiwan a renegade Chinese province and has long demanded that it be reunited.
Relations between the United States and China, the world’s two largest economies, have deteriorated in recent years. The United States accuses China of predatory economic practices and has criticized Beijing’s a crackdown on dissent in Hong Kong and the Muslim region of Xinjiang and bullying neighbors, including Taiwan, over territorial claims.
“Beijing is likely to complain about this announcement, but its words will fall on deaf ears in Washington as negotiations with Taiwan continue,” said Wendy Cutler, vice president of the Asia Society Policy Institute and former US trade negotiator.
Taiwan is the world’s largest producer of computer chips. The United States bought $105 billion worth of goods and services from Taiwan last year, making it the 10th largest source of US imports. US exports to Taiwan totaled nearly $55 billion, making it America’s 15th largest foreign market.
