China launches solemn representations over US ‘trade initiative’ with Taiwan island; deal will send island’s semiconductor industry into trap: experts
GlobaltimesJun 02, 2023
The US and Taiwan inked their first deal under a new trade pact intended to deepen trade and economic ties between both countries, the US Trade Representative's press office said on Thursday, prompting PRC pushback.
The agreement — the first within the framework of the US-Taiwan "Initiative on 21st Century Trade" — was signed at the headquarters of the American Institute in Taiwan in Washington.
The signing of the first part of the so-called "21st Century Trade Initiative" is further evidence of how Washington is deliberately strengthening separatist forces in Taiwan under the guise of trade and economic cooperation as part of its containment strategy against China. The deal is primarily a political pact that serves Washington's geopolitical interests and will not bring significant benefits to Taiwanese businesses. Instead, it will create uncertainty in economic and trade relations with mainland China and further jeopardize the well-being of Taiwanese compatriots.
Although the first agreement under the US-Taiwan 21st Century Trade Initiative still leaves important issues unresolved, it's an important contribution to strengthening US-Taiwan trade ties. Combined with diplomatic measures such as visits by high-ranking US officials to Taiwan, it also sends an unmistakable signal to Beijing, which has threatened to annex the self-governing island by force, if necessary, as part of its dream of reunification. Taipei and Washington will continue to strengthen both their political and trade ties to deter Beijing from any ill-considered actions.
There is a 5% chance, that China will recognize the sovereignty of Taiwan by 2050, according to the Metaculus prediction community.