China to suspend tariff exemption for 34 Taiwanese agricultural products
- Wed, 25 September 2024
Late Wednesday evening, the Chinese Finance Ministry announced that starting from September 25, it will suspend tariff exemptions for 34 fruit, vegetable, and aquatic products imported from Taiwan. In response, Taiwanese government officials have called for a return to international norms for cross-strait trade per World Trade Organization (WTO) rules as soon as possible.
This marks the second time this year that China has unilaterally moved to cancel tariff concessions; in June, 134 items under the Cross-Strait Economic Cooperation Framework Agreement (ECFA) were suspended. Mainland Affairs Council (MAC) Chairman Chiu Chui-cheng (邱垂正) pointed out that China’s actions constitute a kind of economic coercion against Taiwan and are of no benefit to cross-strait relations. He emphasized that such tariff suspensions violate WTO norms and that trade disputes should be resolved through the mechanisms and framework of the WTO.
Agriculture Minister Chen Junne-jih (陳駿季) said that, according to the Agriculture Ministry’s statistics, the trade amount of the 34 items exported to China so far in 2024 is about US$7.36 million. He explained that if the tariff exemption is canceled, an additional US$1.08 million in tariffs will have to be paid. Chen added that the impact of the losses can be controlled and that the ministry will continue to safeguard the rights and interests of Taiwan’s farmers and promote Taiwan’s agricultural products to high-value markets outside of China.
DPP Legislative Caucus Secretary-General Rosalia Wu (吳思瑤) criticized China for once again using business to exert political pressure and ignoring international trade and economic regulations, while KMT legislator Hung Mong-kai (洪孟楷) called on the government to find export outlets for Taiwan’s farmers as soon as possible.