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ECFA to prop up Taiwan economy growth in 2011 - People's Daily Online December 29, 2010
Beginning January 1, China's mainland is to cut tariffs on more goods from Taiwan, and open more service sectors to Taiwan businesses, which is expected to prop up island economy to new highs.
Taiwan's economy is projected to grow by 4.5 percent in 2011 as the cross-Taiwan-Strait Economic Cooperation Framework Agreement (ECFA), which was signed in June, is implemented as scheduled.
The island's Council for Economic Planning and Development said Tuesday that Taiwan has witnessed 10 percent growth in its exports in 2010, mostly to the mainlanders who have become more affluent thanks to rapid economic growth in the past years. The launch of direct flights across the Strait and an increase in mainland tourists has also contributed to Taiwan's rebound from the global financial crisis.
Tariffs on 539 Taiwan products will be reduced beginning the new year, said Yang Yi, the State Council's Taiwan Affairs Office spokesman, at a press conference in Beijing Wednesday. Among the goods, the tariff on 18 island farm products will be cut from 10 percent to 5 percent, which will greatly benefit Taiwan farmers, Yang said.
Also, six mainland service industries design, hospital, maintenance of civil aviation planes, banking, securities and insurance will open to Taiwan companies in 2011.
According to the ECFA deal, the mainland will open 11 service sectors to the island. Five industrial accounting, computer services, conference-providing services, research and development, and film were opened to Taiwan in October.
Taiwan's economy, according to IMF forecasts, will slightly outperform South Korea, Singapore and Hong Kong, the three other fast-growing economies known as Asia's "little dragons", over the coming five years. Taiwan has lagged behind the three during much of the last decade.
"The peaceful development and relaxation of trade restrictions across the Taiwan Strait were the most important first step" in bringing about Taiwan's growth, said Christina Liu, who heads the Council for Economic Planning and Development.
In 2011, total amount of tariff reduction on Taiwan-made products is projected to reach US$472 million. Some put it at more than US$500 million, which is expected to aid Taiwan's isle economy greatly.
Taiwan has also agreed in the ECFA to reduce duties on 267 items of products made at the mainland.
People's Daily Online
Beginning January 1, China's mainland is to cut tariffs on more goods from Taiwan, and open more service sectors to Taiwan businesses, which is expected to prop up island economy to new highs.
Taiwan's economy is projected to grow by 4.5 percent in 2011 as the cross-Taiwan-Strait Economic Cooperation Framework Agreement (ECFA), which was signed in June, is implemented as scheduled.
The island's Council for Economic Planning and Development said Tuesday that Taiwan has witnessed 10 percent growth in its exports in 2010, mostly to the mainlanders who have become more affluent thanks to rapid economic growth in the past years. The launch of direct flights across the Strait and an increase in mainland tourists has also contributed to Taiwan's rebound from the global financial crisis.
Tariffs on 539 Taiwan products will be reduced beginning the new year, said Yang Yi, the State Council's Taiwan Affairs Office spokesman, at a press conference in Beijing Wednesday. Among the goods, the tariff on 18 island farm products will be cut from 10 percent to 5 percent, which will greatly benefit Taiwan farmers, Yang said.
Also, six mainland service industries design, hospital, maintenance of civil aviation planes, banking, securities and insurance will open to Taiwan companies in 2011.
According to the ECFA deal, the mainland will open 11 service sectors to the island. Five industrial accounting, computer services, conference-providing services, research and development, and film were opened to Taiwan in October.
Taiwan's economy, according to IMF forecasts, will slightly outperform South Korea, Singapore and Hong Kong, the three other fast-growing economies known as Asia's "little dragons", over the coming five years. Taiwan has lagged behind the three during much of the last decade.
"The peaceful development and relaxation of trade restrictions across the Taiwan Strait were the most important first step" in bringing about Taiwan's growth, said Christina Liu, who heads the Council for Economic Planning and Development.
In 2011, total amount of tariff reduction on Taiwan-made products is projected to reach US$472 million. Some put it at more than US$500 million, which is expected to aid Taiwan's isle economy greatly.
Taiwan has also agreed in the ECFA to reduce duties on 267 items of products made at the mainland.
People's Daily Online