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Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Singapore Asia Pacific World Taiwan and China make progress in trade pact talks By DEBWU,Associated Press Writer - Monday, June 14 Send IM Story Print TAIPEI, Taiwan – Taiwan and China have agreed on the structure and content for a landmark trade deal that could bring about the closest relations between the longtime rivals since their split amid civil war in 1949. The Economic Cooperation Framework Agreement _ ECFA _ is the centerpiece of Taiwanese President Ma Ying-jeou's ambitious mainland engagement program, which has already reduced tensions across the 100-mile- (160-kilometer-) wide Taiwan Strait to their lowest level since the sides split amid civil war in 1949. In his two years in office, Ma has turned the corner on his predecessor's pro-independence policies, amid a welter of commercial accords, including the resumption of regular air and maritime service and the liberalization of cross-strait investment protocols. Taiwanese and Chinese negotiators meeting for a third round of ECFA negotiations in Beijing made "substantial progress," Taiwan's semiofficial Straits Exchange Foundation said in a statement late Sunday, without indicating whether a June signing target would still be met. The statement said an agreement had been reached on tariff reductions for an unspecified number of goods, and the two sides decided to step up financial cooperation and move to provide intellectual property protection for both countries. The SEF is responsible for conducting negotiations with China. Taiwan's United Daily News and China Times newspapers reported Monday that Taiwan will allow some 200 Chinese items to enjoy tariff reduction benefits on the island, while China will return the favor for about 500 Taiwanese products. Tariff reduction is seen as a big incentive to support ECFA for many in Taiwan _ notably the petrochemical and machinery industries _ though others, including farmers in the southern part of the island and producers of light industrial goods fear it could ruin them by permitting a flood of cheap Chinese imports. For its part, the Ma administration argues that ECFA is necessary to help Taiwan maintain its economic competitiveness in the face of a new Chinese trade agreement with countries in Southeast Asia, and it could open the way to free trade agreements between Taiwan and other countries. Countering this argument, the opposition charges the pact will hurt the island's economy by making it overly dependent on China, and ultimately pave the way for political unification, its greatest fear. It also points out China's Foreign Ministry recently indicated Beijing may oppose third country FTAs with Taiwan. Opposition leaders are planning to hold a mass rally in Taipei in late June to protest the agreement. Recommend Send IM Story Print Related Articles Foxconn parent: commitment to China 'total' AFP - 1 hour 18 minutes ago US discovers huge Afghan mineral wealth: report AFP - 1 hour 45 minutes ago China's AgBank IPO could raise 28 billion dollars AFP - 2 hours 22 minutes ago Honda says normal ops to resume at troubled China plant AFP - Monday, June 14 Chinese investors Fosun buy Club Med stake AFP - Monday, June 14 News Search Top Stories Africa savours first win but tragedy tinges W.Cup Nine killed in plane crash of Mexican politician Greece optimistic ahead of EU, IMF visit UK's new fiscal watchdog to cut growth forecast Impoverished by oil spill, still waiting for a check from BP More Top Stories » Related Full Coverage China Economychina economy All Full Coverage » ADVERTISEMENT Most Popular Most Viewed Most Recommended Impoverished by oil spill, still waiting for a check from BP Hamilton leads McLaren 1-2 at Canadian Grand Prix Euro rate now more 'normal': French central banker Euro to hit dollar parity in 2011, if still exists: analyst Thousands flee ethnic bloodshed in Kyrgyzstan More Most Viewed » The point about pain: New study sheds light on acupuncture Clashes as Israeli forces storm Gaza aid boat: Hamas TV Egypt unearths tomb of pharaonic army chief Physicists solve mystery of missing neutrinos More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Asia Entertainment Photos World Cup 2010 Copyright © 2010 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

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