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Home Editorials of Interest Taipei Times China is unreliable trade partner

China is unreliable trade partner

China on Monday announced it was lifting a ban on importing pomeloes from Taiwan ahead of this year’s Mid-Autumn Festival. In doing so, China’s Taiwan Affairs Office emphasized that “Taiwan and China are one family and it is easier to negotiate things in the family.” It added that the two sides should interact on the basis of the so-called “1992 consensus” and oppose “Taiwan independence.” This clearly shows that the ban and its removal are politically motivated.

China imposed the ban on pomelo imports from Taiwan on Aug. 3, 2022, a move widely seen as a measure to retaliate against Taiwan for receiving then-US House of Representatives speaker Nancy Pelosi on Aug. 2 to 3. It is only one part of the economic prohibitions Beijing imposed that month, which included blocking imports of more than 2,000 Taiwanese products, ranging from agricultural and fishery goods to cooking oil and cakes.

This is part of China’s playbook of using coercive measures, including military threats and economic restrictions, to pressure Taiwanese sovereignty and democracy, and as revenge for engagement with the international community.

Flouting international regulations and cross-strait agreements to discuss bilateral trading issues through official channels, China has made it clear that selectively lifting bans on Taiwanese goods is a political tactic. In the case of pomeloes, China’s reopening is limited to a few farms in Hualien County and was announced right after a delegation of Chinese Nationalist Party (KMT) lawmakers, led by KMT caucus whip and former Hualien County magistrate Fu Kun-chi (傅崐萁), echoed the “1992 consensus” and Beijing’s “one China principle” during a meeting with Chinese People’s Political Consultative Conference Chairman Wang Huning (王滬寧).

The same playbook was used when China resumed imports of Taiwanese atemoyas and groupers last year. The removal of the import ban on Taiwanese atemoyas was limited to 25 farms in Taitung, which account for a mere 3 percent of nationwide farms, and was announced after KMT Taitung County Commissioner Yao Ching-ling’s (饒慶鈴) echoed the “1992 consensus” and opposed “Taiwanese independence” during a meeting with China’s Taiwan Affairs Office Director Song Tao (宋濤) in Beijing.

Additionally, China only resumed imports of Taiwan’s groupers from seven fisheries associated with KMT lawmakers, a move widely seen as a favor to the pro-China opposition party and to put pressure on the ruling Democratic Progressive Party before the nation’s crucial presidential and legislative elections.

Beijing’s coercive and arbitrary restrictions on Taiwanese imports have damaged cross-strait trading and driven Taiwan to diversify its export markets to reduce its dependence on China.

As the trade friction between Beijing and Washington escalated, and the Chinese economy slumped, Taiwan’s shift away from China, however, could be a silver lining, which has bolstered its economic resilience.

Taiwan’s exports reached historic peaks between 2021 and last year, including an all-time high of US$43.5 billion in March 2022 and a record trade surplus last year. China, including Hong Kong, accounted for 28.57 percent of Taiwan’s two-way trade last year, the lowest in 10 years and down from an average of more than 30 percent from 2015 to 2021, Ministry of Finance statistics showed.

The US (17.5 percent) and Japan (16.4 percent) have replaced China (13 percent) as the top export destinations for Taiwanese agricultural products since 2022. Taiwan’s pomelo exports have also expanded to new markets such as Singapore, Hong Kong and Canada.

By deploying coercive and “united front” tactics to bully Taiwan, China should learn that they only serve to alienate the two sides of the Taiwan Strait economically and emotionally.


Source: Taipei Times - Editorials 2024/09/06



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