Thursday

28th Mar 2024

Opinion

Best reply to China is an EU trade deal with Taiwan

  • 'China's aggressive actions in the Taiwan Strait are also a threat to Europe's security, as Taiwan remains a key partner on the issue of semiconductors' (Photo: ec.europa.eu)
Listen to article

The European Union and Taiwan are democracies with shared common values of freedom, democracy, human rights and the rule of law. Our trading relationship should reflect this.

With only 14 percent of the world population living in fully-democratic nations, the EU has to continue to forge alliances with liberal democracies beyond its neighbourhood.

Read and decide

Join EUobserver today

Get the EU news that really matters

Instant access to all articles — and 20 years of archives. 14-day free trial.

... or subscribe as a group

Our delegation visit to Taipei is a testament to that commitment. Not only are we laying down the groundwork for a new trade deal but we are also visiting to express our solidarity with Taiwan against China's continued military belligerence, airspace violations and disinformation campaigns against Taipei.

We must begin the process of deepening our economic ties before the end of 2021.

Recently, the European Parliament adopted a resolution with overwhelming support across the political spectrum, calling for upgraded EU-Taiwan relations.

This has only given momentum to those of us who want a closer relationship between Brussels and Taipei. Foreign minister Wu's recent visit to Brussels reflects this willingness is reciprocal.

The EU is Taiwan's fifth-largest trading partner, with bilateral trade between Taiwan and the European Union reaching €44.76bn in 2020.

To put this in perspective, the value of trade between the EU and Canada was €53.3bn the same year. A likeminded country that has a free-trade agreement with the EU, removing 98 percent of tariffs between the two.

This would-be trade deal would not only make both of our populations wealthier and better off, but it would also keep us safer. China's aggressive actions in the Taiwan Strait are also a threat to Europe's security, as Taiwan remains a key partner on the issue of semiconductors.

These semiconductors have aptly earned the nickname of 'new oil', as the global economy remains highly dependent on their use for our smartphones, computers and cars.

The most advanced type of these precious chips is produced for the most part by the Taiwan Semiconductor Manufacturing Company. A trade deal could encourage Taiwanese manufacturers to produce chips in Europe, assisting the EU's home grown plans to reduce interdependence in this field.

In a post-Covid world where trade barriers are going up everywhere we look, the EU and Taiwan can lead by example by signing a comprehensive trade deal.

The EU should not seek Beijing's permission to strike trade deals in the Indo-Pacific region. Not only did China itself sign a trade agreement with Taiwan in 2010, but China has also signed agreements with EFTA nations such as Iceland and Switzerland.

Don't threaten us

The sanctions Beijing levelled on European Parliament officials are unacceptable and only prove the importance of the Parliament's role when negotiating trade deals. The recent threats by the Chinese government against Europe's only directly elected body will not intimidate us.

Furthermore, Europe will not sit idly by as Beijing pressures and attempts to coerce Lithuania for pursuing a closer relationship with Taiwan. The European Parliament will continue to push back against these wretched attempts and adopt appropriate tools in the future.

If Europe is serious about strategic autonomy, it must not be afraid of defending its interests in the Indo-Pacific. A trade deal with Taiwan would send a message to Beijing about Europe's commitment to being a global player.

A Korea-style free trade agreement is within our grasp. Europe and Taiwan will be safer and better off by taking it.

Author bio

Petras Auštrevičius is a Renew MEP from Lithuania, and part of last week's European Parliament delegation to Taiwan.

Disclaimer

The views expressed in this opinion piece are the author's, not those of EUobserver.

EU and US join up against China on Taiwan

The EU and its leading powers voiced strident criticism of China at a G7 meeting in London on Wednesday, even as Hungary, once again, tried to gag Europe in Brussels.

Column

'Balancing' China starts in WalMart and Amazon, not Pacific

No wonder, despite the diplomatic and military initiatives, most countries in the region see China as the new leader. Perhaps it is easier to adjust military strategy towards China, than to tackle the addiction of consumers and companies to China.

MEPs in Taiwan - maybe don't rock the boat?

The one lesson these MEPs should have learned before enjoying Taiwan's superb hospitality (great food, marvellous hotels, great headlines) is a simple one: "Don't Rock the Boat".

The South China Sea should be of concern to Europe

If China is allowed unimpeded to break the law of the sea in the South China Sea, think about the repercussions elsewhere. It could ricochet into Europe's High North. In the Arctic, Nordic nations have overlapping claims with Russia.

Why UK-EU defence and security deal may be difficult

Rather than assuming a pro-European Labour government in London will automatically open doors in Brussels, the Labour party needs to consider what it may be able to offer to incentivise EU leaders to factor the UK into their defence thinking.

Column

EU's Gaza policy: boon for dictators, bad for democrats

While they woo dictators and autocrats, EU policymakers are becoming ever more estranged from the world's democrats. The real tragedy is the erosion of one of Europe's key assets: its huge reserves of soft power, writes Shada Islam.

Latest News

  1. German bank freezes account of Jewish peace group
  2. EU Modernisation Fund: an open door for fossil gas in Romania
  3. 'Swiftly dial back' interest rates, ECB told
  4. Moscow's terror attack, security and Gaza
  5. Why UK-EU defence and security deal may be difficult
  6. EU unveils plan to create a European cross-border degree
  7. How migrants risk becoming drug addicts along Balkan route
  8. 2024: A Space Odyssey — why the galaxy needs regulating

Stakeholders' Highlights

  1. Nordic Council of MinistersJoin the Nordic Food Systems Takeover at COP28
  2. Nordic Council of MinistersHow women and men are affected differently by climate policy
  3. Nordic Council of MinistersArtist Jessie Kleemann at Nordic pavilion during UN climate summit COP28
  4. Nordic Council of MinistersCOP28: Gathering Nordic and global experts to put food and health on the agenda
  5. Friedrich Naumann FoundationPoems of Liberty – Call for Submission “Human Rights in Inhume War”: 250€ honorary fee for selected poems
  6. World BankWorld Bank report: How to create a future where the rewards of technology benefit all levels of society?

Stakeholders' Highlights

  1. Georgia Ministry of Foreign AffairsThis autumn Europalia arts festival is all about GEORGIA!
  2. UNOPSFostering health system resilience in fragile and conflict-affected countries
  3. European Citizen's InitiativeThe European Commission launches the ‘ImagineEU’ competition for secondary school students in the EU.
  4. Nordic Council of MinistersThe Nordic Region is stepping up its efforts to reduce food waste
  5. UNOPSUNOPS begins works under EU-funded project to repair schools in Ukraine
  6. Georgia Ministry of Foreign AffairsGeorgia effectively prevents sanctions evasion against Russia – confirm EU, UK, USA

Join EUobserver

EU news that matters

Join us