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ECFA pushes Taiwan exports to new heights in 2011

February 13, 2012
Taiwan’s grouper farming sector is enjoying remarkable growth as a result of reduced tariffs under the ECFA. (Photo: Chang Su-ching)

Taiwan’s exports to mainland China enjoyed tariff savings of US$122.62 million last year under Cross-Straits Economic Cooperation Framework Agreement (ECFA) early harvest list, according to the Ministry of Economic Affairs Feb. 10.

The latest MOEA statistics show outgoing shipments of listed products increased 9.88 percent year on year to US$19.85 billion. At the same time, cross-strait exports climbed 8 percent to US$124.9 billion.

Imports of listed goods from mainland China surged 28.14 percent to US$5.04 billion for US$22.76 million in tariff savings, with the overall figure gaining 21.29 percent to US$43.38 billion.

A breakdown of the data shows that industrial sectors, including machinery and parts, petrochemicals, textiles and transportation equipment, are the major beneficiaries under the ECFA.

Taiwan’s agricultural sector also saw listed exports skyrocket 127 percent to US$125.64 million, with frozen Pacific sauries, live groupers and Oncidium orchids registering triple-digit growth.

According to an MOEA-sponsored survey of 1,436 local companies conducted in the first half of last year, 51.31 percent of respondents consider the ECFA helpful to their business. Small and medium enterprises comprise the bulk of this number, reaffirming the trade pact’s key role in boosting local SME development.

Improved Taipei-Beijing relations following the signing of the ECFA in June 2010 also helped Taiwan attract US$9.53 billion in investment from foreign sources in 2011, 5.91 percent higher than the MOEA annual forecast.

These encouraging developments are reflected in Taiwan’s job market. According to official employment data, listed sectors are creating new positions at a rate in excess of the national average, with machinery, automobiles and rubber topping the list.

With 94.5 percent of goods on the list set to enjoy zero tariffs this year, the MOEA expects Taiwan’s private sector to reap even greater benefits stemming from the ECFA. (JSM)

Meg Chang at meg.chang@mail.gio.gov.tw  

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