|
|
|
Benefits of the US-Taiwan FTA » State by State
|
|
Florida  
Taiwan is an important export market for Florida. In 2006, Florida・s exports to Taiwan reached $188 million, an increase of 3.7% from a year earlier. Florida・s primary exports to Taiwan include computer and electronics products, miscellaneous manufactured items, chemical manufactures, machinery manufactures, transportation equipment, waste and scrap, leather-related products, paper products and electronic equipment, appliances and parts. Still, with Florida・s exports to Taiwan accounting for a relatively small part of the total $23 billion worth of exports from the U.S. to Taiwan in 2006, substantial opportunities remain for Florida companies to expand their business ties with Taiwan. In hopes of strengthening economic ties between the U.S. and Taiwan, including business opportunities for Florida, Taiwan has been promoting the signing of the U.S.-Taiwan Free Trade Agreement (FTA). We welcome and applaud the fact that the State House of Representatives already passed a resolution supporting the U.S.-Taiwan FTA in 2003. As of August 2006, the U.S.-Taiwan FTA proposal has been endorsed by a total of 49 legislatures in 28 states, the Council of State Governments and the National Association of Secretaries of State.
Florida plays an essential role in the American citrus fruit industry. Taiwan imports a significant amount of citrus fruits from Florida and remains the 5th largest importer of U.S. agricultural goods overall. In 2005, for example, Taiwan dispatched a procurement mission to nine major farming states. The procurement mission signed a letter of intent to purchase 14.5 million metric tons of grain and 6 million pieces of leather in 2006 and 2007. The value of these purchases is expected to reach $3.1 billion, $400 million more than the last purchase agreement signed in 2003. Judging from this trend, it is clear that Florida・s farmers would enjoy immediate benefits from the signing of the U.S.-Taiwan FTA, which would eliminate tariffs on most agricultural and industrial products and therefore increase Taiwanese demand for U.S. agricultural products.
Other key sectors in Florida include a growing medical device industry (the second largest producer of FDA-registered medical devices in the United States) and the aviation and aerospace industries. Indeed, Florida, home to NASA and the Cape Canaveral Spaceport, ranks among the world・s leaders in aerospace technology. Other important industries in Florida include information technology, telecommunications, and homeland security. These industries would also benefit from tariff reductions and further trade liberalization made possible by the U.S.-Taiwan FTA. Also, Taiwan has placed itself in an influential position in many sectors in China, having the same language and cultural background along with a strong entrepreneurial spirit. The U.S.-Taiwan FTA will therefore create many opportunities for Florida businesses to both collaborate with Taiwanese companies and utilize Taiwan as a gateway to China and other Asian markets. Through joint ventures in high-tech industries, for example, Taiwan could become a major platform for Florida companies to expand their reach into the Asia Pacific region. Indeed, Taiwanese companies continue to be a leading force for development in China in various fields as well as key investors in several emerging Southeast Asian countries, including Vietnam, Malaysia, Thailand, the Philippines and Indonesia. In addition, the signing of the U.S.-Taiwan FTA would also lead to closer investment and trade relations between the U.S. and Taiwan and, accordingly, Florida and Taiwan. Florida, especially Southern Florida, has already attracted investment from many Taiwanese companies. Still, there remains significant potential for Taiwanese enterprises to increase their human and capital investment in Florida. The U.S.-Taiwan FTA would provide the perfect vehicle for them to do so.
The level of trade between Taiwan and the U.S. far exceeds the value of trade between the U.S. and many of its FTA signatories. Looking at U.S. trade with FTA signatories such as Jordan and Morocco, for example, the Taiwan-U.S. trade level is 38 and 50 times greater, respectively. For Florida・s citizens and its companies, the strengthening of Taiwan・s existing relations with the U.S. would translate into real and immediate benefits. In conclusion, it is clear that the signing of the U.S.-Taiwan FTA would be good for Florida and good for America. We therefore hope that the administration, the Senate and the House of Representatives and the private sector of the State of Florida can further promote the U.S.-Taiwan FTA, so that the enormous economic potential that exists between Florida and Taiwan can be more fully realized.
|
|
|
