The Impact Of Signing ECFA On Taiwan'S Textile Industry

If we can sign ECFA (Cross Strait Economic Cooperation Framework Agreement) between the two sides and remove tariff barriers, it is estimated that the value of Taiwan's textile exports to China will grow by 25.1% or about US $530 million, but it may also face non-tariff trade barriers, such as stricter certificate of origin.

As for the negative effects, we should not overlook the fact that the value of China's textile exports to Taiwan will increase by 20.8%, or about US $160 million, and there will be up to 486 of the projects that still prohibit the import of textiles from China. However, the opening time will have a buffer time of 5~15 years.

The Ministry of economic affairs of the Taiwan has prepared more than 30 billion yuan for the "trade liberalization trade structure adjustment fund", which will provide funds for the affected industries to facilitate the pformation of the industry. At present, the demand survey and guidance plan for sensitive industries are also in progress. We believe that with the efforts of the government and industry, the interests can be maximized and the impact be minimized.