Taiwan will sign its first cross-strait trade treaty with the mainland today, reported Bloomberg. The Economic Cooperation Framework Agreement (ECFA) marks the strongest diplomatic agreement between both sides since the establishment of the People’s Republic of China 60 years ago. China will reduce tariffs on 539 items from Taiwan, offering US$13.8 billion, but exclude certain items including semiconductors and polyvinyl chloride that had previously been points of contention. Taiwan will lessen tariffs on 267 items from the mainland worth US$2.86 billion. The ECFA marks an enormous political triumph for Taiwanese President Ma Ying-jeou, who has worked to develop stronger ties to the mainland since coming to office in 2008, but has met with resistance from some of the island’s residents. Taiwan is now on equal footing with 10 other Southeast Asian countries that already have economic agreements with China.
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