Sec. 501. Findings

424 words·~2 min read·/bill/117/s/4428/rs/section-501

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Congress makes the following findings: Taiwan has been an important trading partner of the United States for many years, accounting for $114,000,000,000 in two-way trade in 2021. Taiwan has demonstrated the capacity to hold a strong economic partnership with the United States. Along with a robust trading profile of goods and services, Taiwan supports an estimated 208,000 American jobs, a number that will only increase with a comprehensive bilateral trade agreement. In addition to supplementing United States goods and services, Taiwan is a reliable partner in many of our Nation's industries, which is not only critical for diversifying our Nation's supply chains, but is also essential to reducing our Nation's reliance on other countries, such as China, who seek to leverage supply chain inefficiencies in their path to regional and global dominance.

Such diversification of our Nation's supply chain is critical to United States national security. The challenges to establishing an agreement with Taiwan, such as reaching an agreement on agricultural standards, will not prevent the completion of a bilateral trade agreement. Taiwan has already taken steps to further the progress towards such an agreement by announcing its intent to lift their restrictions on United States pork and beef products, which will greatly increase the accessibility of American farmers and ranchers to Taiwan markets.

In light of this important development, the United States should immediately move forward with substantial negotiations for a comprehensive bilateral trade agreement with Taiwan. A free and open Indo-Pacific is a goal that needs to be actively pursued to counter China’s use of unfair trading practices and other policies to advance its economic dominance in the Indo-Pacific region. An agreement with Taiwan would— help the United States accomplish this goal by building a network of like-minded governments dedicated to fair competition and open markets that are free from government manipulation; and serve as a signal to other nations that Taiwan is a viable partner that is open for business.

Since November 2020, Taiwan and the United States have engaged in the U.S.-Taiwan Economic Prosperity Partnership Dialogue, covering a broad range of economic issues including— 5G networks and telecommunications security; supply chains resiliency; infrastructure cooperation; renewable energy; global heath; and science and technology. A trade agreement between the United States and Taiwan would promote security and economic growth for the United States, Taiwan, and the entire Indo-Pacific region.

Leaving Taiwan out of the conversation on Indo-Pacific Economic Framework would— create significant distortions for the structure of the regional and global economic architecture; and run counter to the United States economic interests.