US, Taiwan to start formal trade talks in autumn

The United States and Taiwan have agreed to begin trade talks, set to start in early autumn, as part of a new initiative to boost relations even as tensions rise with China over the self-governed island.

The negotiations would encompass a range of areas, including agriculture, digital trade, good regulatory practices and removing trade barriers, the Office of the US Trade Representative said in a statement.

Taiwan's Office of Trade Negotiations on Thursday confirmed the planned start of formal talks saying it hopes negotiations attract more US and other foreign investment and clears the road for Taiwan to be a part of international trade blocs like the Japan-led Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

Taipei aims for eventual free-trade deal

The possibility of talks, known as the US-Taiwan Initiative on 21st-Century Trade, was unveiled in June.

"We plan to pursue an ambitious schedule for achieving high-standard commitments and meaningful outcomes covering the eleven trade areas in the negotiating mandate that will help build a fairer, more prosperous and resilient 21st-century economy," Deputy United States Trade Representative Sarah Bianchi said. 

In Taipei, the island's top trade negotiator, John Deng, said he hoped talks could start next month and that this could one day lead to a free-trade deal the island has long sought with the US.

The announcement comes after China held its largest-ever military drill around Taiwan,  which Beijing claims as its territory, after a visit by US House Speaker Nancy Pelosi earlier this month.

Pelosi became the highest-level member of the government in Washington to visit Taiwan in 25 years.

What is China's view of the proposed talks?

China expressed its opposition to the new Taiwan-US trade initiative.

"China will take resolute measures to uphold its national sovereignty and territorial integrity," Foreign Ministry spokesperson Wang Wenbin said. "We advise the United States stop making misjudgments."

The United States has no official diplomatic relations with Taiwan but maintains extensive informal contacts through the unofficial American Institute in Taiwan.

The US also provides considerable political and military support to Taipei.

dvv/sms (AFP, AP, Reuters, dpa)