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    China And South Korea FTA Material Impact Taiwan Textile Industry Fear Of Losing Advantage

    2014/7/19 17:55:00 35

    China And South KoreaFTATaiwanTextile Industry

    Here world clothing shoes The Xiaobian of the hat net introduces Taiwan and China's impact on FTA. Spin Industry fear is losing its strength.


    Taiwan's Ministry of economic affairs, 17, said that according to the report, China and ROK agreed to strive to sign the FTA before the end of this (2014) year.


    The two sides have consulted on the provisional number of commodities opening 90% and 85% of the import amount, and planned phased tariff reductions. Facing the upcoming signing of the FTA between China and South Korea, the textile industry in Taiwan is expected to face more impact than the US / South Korea / Europe and South Korea FTA.


    Taiwan industry bureau pointed out that South Korea is one of Taiwan's main competitors in the textile industry, and has signed a free trade agreement with the ASEAN, the United States and the European Union, which has caused some impact on the export of Taiwan manufacturers. If the FTA of China and South Korea is signed at the end of the year, as for the textile industry with high homogeneity between Taiwan and Korea products, the gap between import tariff rates may become the key to affecting the competitive advantage of textiles in the mainland of China.


    China's largest textile product in Taiwan Exit Market, according to customs statistics, (2013) exports to mainland China accounted for 21.6% of Taiwan's textile exports, the United States market accounted for only 7.7%, the EU market 5%; and according to the customs import statistics of China's mainland, last year, imports of textiles from Taiwan were US $3 billion 130 million, imported from South Korea 2 billion 630 million US dollars, and imported products from Taiwan and Korea were similar in structure, competing with each other, the impact of China and South Korea FTA may be even more than that of the US / South Korea / Europe and South Korea FTA.


    The Taiwan Bureau of industry has pointed out that at present, the advantages of ECFA in the early harvest of the list of textiles in China are 134 zero tariffs, but if the Sino Korean FTA is signed before the end of the year, and the trade agreement between the two sides of the Taiwan Strait is unable to complete the negotiations, the result will be a tariff gap with the Korean products except for the early harvest items. When exporting to the mainland of China, the leading position of Taiwan in Taiwan's biggest export market will be changed. Some of the products may be replaced by Korea.


    According to the analysis data commissioned by the industry bureau, the output value of Taiwan textile industry will be reduced by US $166 million and the export volume will be reduced by US $133 million after the implementation of FTA. In addition to the ECFA early checklist, the 134 textile products have been reduced to zero tariffs and are not subject to the impact of China and South Korea FTA. The rest of the textile products may be impacted by the different tariff adjustment periods between China and South Korea.


    Taiwan Industry Bureau said that in order to solve the impact of FTA between China and South Korea on Taiwan textile products, we should speed up the ECFA trade negotiations between the two sides of the Straits and actively strive for zero tariffs on land textiles so that domestic manufacturers can be free from the tariff preferences of China and Korea FTA and reduce the competitiveness of textile products in the Chinese mainland market.


    In addition, the government of Taiwan will continue to assist textile and garment manufacturers to take measures to cope with global competition, including global layout and global marketing, and to develop new markets such as ASEAN, Russia, Turkey and China, South America, etc., to enhance technological innovation capability and make use of Taiwan's textile industry in environmental protection. textile Under the strong foundation, we should strengthen the quality competition, improve competitiveness and cooperate with the brand establishment to improve the added value of products.

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