Taiwan must think globally after ECFA signing

Taiwan must think globally after ECFA signing: president Ma

The economic cooperation framework agreement (ECFA) inked June 29 with Beijing will revitalize Taiwan's economy, but the country must have a global outlook in order to remain competitive, President Ma Ying-jeou said 1 July in a press conference.

The president made the remarks two days after the signing of the landmark trade deal with Beijing to explain Taiwan 's post-ECFA strategy and field questions from the press.

"The signing of the ECFA broke Taiwan 's isolation and brought mutual benefits for China and Taiwan . It will also accelerate the integration of the regional economy, through which Taiwan can become a springboard for foreign investors interested in the pan-Asia region," Ma said.

The president said the agreement also protects the rights of China-based Taiwanese businessmen, whose annual investments in China are worth over US$200 billion.

The signing of the ECFA, which aims to reduce or scrap tariffs for both signatories, will also transform Taiwan into a more attractive investment destination for foreign companies who can use Taiwan as a means to tap into China's domestic market, Ma said.

More importantly, the deal will increase Taiwan 's chances of forging free trade agreements or similar tariff-free pacts with other countries, according to the president.

Ma said that although the ECFA can help remove many hurdles that stand in Taiwan 's way and level the playing field among its competitors, "it is not a cure-all, " and Taiwan 's development will require the efforts of the entire nation.

Despite the ECFA, Taiwan should not depend solely on China but should have a strong global business outlook to ensure its competitiveness on the international stage. To do so, Ma said, a special task force will be established to steer Taiwan 's future global strategy.

While the administration said the ECFA gives Taiwan 's business sector the edge it needs to compete in the multiparty trade regime, the opposition has slammed the move, saying that it will accelerate China 's absorption of Taiwan by deepening its dependency on China -- a notion the president firmly rebutted.

"The signing process of the ECFA and the wording of the document absolutely does not disparage Taiwan 's sovereignty or national dignity, " he said, adding that the opposition is welcome to "rationally monitor the execution and implementation"of the treaty.

Taiwan has a chance to sign free trade agreements (FTAs) or similar economic cooperation agreements with its trade partners after the signing of a trade pact with China , President Ma Ying-jeou said.

"Judging From China's recent gestures, the matter ( Taiwan 's signing of FTAs with other countries) should have a chance, " the president said.
But he also said that in the initial stage, the matter is sensitive, and it is inappropriate to “elaborate on its progress."

ENDS

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