Taiwan wants trade disputes with China to be handled under WTO framework

Taipei, Dec. 15 (CNA) The Ministry of Economic Affairs (MOEA) on Friday called for negotiations to be held under the World Trade Organization (WTO) framework after China announced that Taiwan's ban on imports of over 2,400 Chinese goods constituted a "trade barrier."

Taiwan is willing to hold discussions on trade disputes with China based on the rules and mechanisms under the WTO, the MOEA said in a statement following Beijing's accusations.

The two sides can resolve the issues there because both are WTO members, the ministry said.

Taiwan acceded to the WTO as the "Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu" on Jan. 1, 2002, 21 days after China's accession to the world trade body.

MOEA also noted that China has also banned the imports of various Taiwanese agricultural, fishery and food products in the past without warning, resulting in Taiwan having to initiate corresponding measures to ensure the rights and interests of operators.

Earlier Friday, China's Ministry of Commerce issued a statement saying Taiwan's restrictions on the import of more than 2,455 products from China were determined by Beijing to be a barrier to trade.

The Chinese ministry said the decision was made after an investigation into potential trade barriers, which began on April 12, related to a ban imposed by Taiwan on imports of Chinese products.

There was no indication of what China might do in response to its judgment.

The announcement of the investigation's conclusion on Friday came roughly one month before Taiwan's Jan. 13 elections, sparking concerns that whatever China did, it would use the investigation and its outcome to try to influence Taiwanese voters.

On Friday, Taiwan's Office of Trade Negotiations, which is under the Executive Yuan, issued a statement criticizing the Chinese probe as violating WTO rules and that Taiwan did not accept it.

The investigation was politically motivated, and China should immediately cease its political manipulation against Taiwan, the office charged, without elaborating.

Its response was echoed by Taiwan's Mainland Affairs Council (MAC) the same day.

Any trade disputes should be handled through the WTO mechanism, the MAC said, arguing that China's decision to deliberately bypass the WTO to carry out the investigation showed that the move was politically motivated.

"If China is sincere, Taiwan is ready to talk at any time," said Chang Chih-hao (張志豪), a spokesman for the ruling Democratic Progressive Party (DPP), who also called for the issue to be handled based on WTO mechanisms.

The announcement of an investigation so close to Taiwan's elections clearly showed that China intended to exert its interference and harm cross-strait relations, Chang said.

Separately, Jaw Shau-kong (趙少康), the vice presidential candidate of the opposition Kuomintang, considered to be more conciliatory to China than the DPP, said it was appropriate for Taiwan to proportionally protect its agricultural products and goods because of the difference in the geographical scales of Taiwan and China.

He advised China to not just think about mutual interests and take the hard work of Taiwanese farmers into consideration.

"Taiwanese farmers are all small stakeholders who face high operating costs. Once the market is opened, it will pose a great blow to Taiwan's agriculture," Jaw said.

Separately, Thomas Wu (吳東亮), chairman of Taiwan's Chinese National Association of Industry and Commerce, urged the two sides to communicate to promote understanding.

Wu also called for Taiwan's government to take supporting measures to assist vulnerable industries in the agriculture and fisheries sector due to the bans imposed by China.