Taiwan

The EU and Taiwan have long-standing annual trade consultations. In June 2022, these consultations were upgraded to the EU-Taiwan Trade and Investment Dialogue, co-chaired by the director-general of DG TRADE and Taiwan’s minister of economic affairs. 

The second such Trade and Investment Dialogue was held in April 2023. Discussions focused on priority sectors including offshore wind and agri-food, digital trade facilitation measures, and security-related aspects of trade and investment.

Taiwan, under the designation of the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu (Chinese Taipei), joined the WTO in January 2002. In December 2008, Taiwan fulfilled an important WTO accession commitment by joining the WTO's Government Procurement Agreement. 

This marked a significant milestone in Taiwan’s participation in the global trading system, including in the setting up of open, transparent, and non-discriminatory rules in the public procurement markets. 

Taiwan is also an active participant in plurilateral initiatives in the framework of the WTO, where it has a number of shared interests with the EU. 

Trade picture

• Taiwan was the EU’s 13^th biggest trading partner in 2023. Its total goods trade with the EU 27 reached €77.7 billion. EU exports to Taiwan and EU imports from Taiwan amounted to €30.5 billion and €47.8 billion respectively. 
• The EU currently runs a €17.3 billion trade deficit with Taiwan.
• The EU is Taiwan's 4^th largest trading partner after China, the USA and Japan. 
• The EU’s largest export categories to Taiwan are semiconductor machinery (21% of total goods exports in 2023), passenger cars (12%), integrated circuits (10%), and pharmaceuticals (6%). 
• EU imports from Taiwan are dominated by information and communication technology products. The largest categories are integrated circuits (microchips, etc.), which accounted for 23% of EU goods imports from Taiwan in 2023, computers and their parts (accounting for 21%), and phones (7%). 
• There are few trade and investment barriers, and Taiwan is an open economy. However, there are some sectors in which EU companies face market access difficulties, notably in relation to offshore wind power, where EU companies are required to implement stringent local content requirements. In the agriculture sector, EU exports are affected by cumbersome rules and regulations, including slow market access approvals, preventing bilateral trade from realising its full potential.

The EU and Taiwan

While the EU pursues its 'One China' policy and recognises the government of the People’s Republic of China as the sole legal government of China, the EU and Taiwan have developed solid relations and close cooperation in a wide range of areas.

Four technical working groups deal with issues relating to intellectual property rights, investment, technical barriers to trade, and sanitary and phytosanitary rules.

The EU in Taiwan

• The European Commission established a European Economic and Trade Office in Taipei in 2003.
• Since 1988, the European Chamber of Commerce Taipei has represented the interests of EU business in Taiwan, with 30 established sector committees to date.

Trading with Taiwan

• Importing into the EU from Taiwan
  • EU trade defence measures on imports from Taiwan
• Exporting from the EU to Taiwan
  • Trade defence measures in force in Taiwan
• Trade relations are part of the EU's overall political and economic relations with Taiwan
• Taiwan is a member of the World Trade Organization