China scraps tariff exemptions on some Taiwan imports

CHINA will remove its tariff exemptions on some agricultural products imported from Taiwan as Beijing continues to ramp up pressure amid growing tensions with the island.

The Chinese Customs Tariff Commission will scrap its tariff exemption policy on 34 Taiwanese agricultural imports, ranging from fruits, vegetables and fishery products starting from Sep 25, the Chinese Ministry of Finance said on Wednesday (Sep 18).

Beijing’s move is in response to the island’s discriminatory, restrictive measures unilaterally imposed on Chinese exports, hindering cross-strait economic and trade cooperation, the ministry said. Taiwan is restricting the imports of more than 1,000 agricultural products from mainland China, Taiwan Affairs Office in Beijing said.

“China uses economic measures to pressure and intimidate Taiwan, which is not helpful in maintaining cross-strait relations,” Taiwan’s Mainland Affairs Council said in response to China’s measure, adding that the mainland uses trade as a weapon and urged Beijing to resolve any disputes through pragmatic communication.

China’s latest trade move adds to the tensions between Beijing and Taipei that have mounted since Lai Ching-te took over as Taiwan’s president in May. China sees Lai as pushing for independence for the US-backed island that Beijing has vowed to control eventually, by force if necessary.

In mid-June, Beijing halted concessions on 134 items listed under the 2010 Economic Cooperation Framework Agreement. Taiwanese official said the move would impact 10.2 per cent of the US$95.7 billion worth of Taiwan’s cross-strait shipments last year. BLOOMBERG