TAIPEI (TVBS News) — Taiwan's Ministry of Agriculture (MOA, 農業部) said on Wednesday (Sept. 18) that the impact of China's tariff exemption policy would be "limited" and "manageable."
The statement follows China's Ministry of Finance (中國財政部) announcement earlier that day that it would end tariff exemptions for 34 Taiwanese agricultural products starting Sept. 25.
China cited Taiwan's discriminatory restrictions on Chinese exports as the reason for the policy change, which it claims severely hampers cross-strait economic cooperation.
In response, the MOA argued that China has already imposed non-tariff barriers affecting Taiwanese agricultural exports.
The ministry also noted that the policy's effect is controllable because few Taiwanese agricultural products currently benefit from zero-tariff privileges, as China has already suspended the exports of pineapples, mangoes, and wax apples.
The ministry highlighted external costs, such as high transportation fees, lengthy customs clearance, and competition from low-priced fruits, that are impacting Taiwanese exports to China.
According to the MOA, China's tariff exemption policy implemented in 2005 and 2007 needed more detailed announcements and timelines. Taiwan has called for negotiations but has received no response.
The ministry plans to diversify its export markets beyond China, focusing on high-consumption regions to enhance competitiveness and secure farmers' incomes.
Taiwan's agricultural exports to markets outside China reached US$3.894 billion in 2020 and increased to US$4.39 billion in 2023. The MOA said it remains committed to expanding these markets to ensure stable income for Taiwanese farmers.