A research on framing the Free Trade Areas across The Taiwan Strait¡Gfrom the Regional Economic Integration viewpoint

by Ke, Chun-Kung

Abstract (Summary)
Abstract The title of this thesis is ¡§ A research on framing the Free Trade Areas across the Taiwan Strait: from the Regional Economic Integration viewpoint¡¨. The main themes of this thesis can be categorized into two parts: 1.Elaborating the theory of Free Trade Areas and the legal framework of global economic law to find out the reason why GATT/WTO permits to build Free Trade Areas as an exception of the GATT/WTO Most-Favored Treatment rule; and further stating the meaning and inspiration of Free Trade Areas across the Taiwan Strait under the experiences of EU and NAFTA. 2.After entering the WTO, according to the international norm, it¡¦s a must for both sides of The Taiwan Strait to adjust their economic relationship and set up a cross-strait free trade zone from the experience of EU and NAFTA in accordance with the natural regularity of international economic development relationship. Taiwan and Mainland China, on two sides of the Twian Strait have become members of the WTO, and have officially connected with international trade and economic organism. It is essential for two sides to develop their economic interrelationship on the basis of the natural regularity of international economic development relationship. This thesis emphasizes that the development of economic relationship across the Taiwan Strait is a step-by-step process and suggests that the process can be divided into three steps as follows: 1.Normalization of economic relationship across the Taiwan Strait after entering WTO¡Ðit means that the activities of trade and investment across The Taiwan Strait should be transformed from ¡§indirect¡¨ into ¡§direct.¡¨ In addition, the restrictions on the movement of the people between Taiwan and Mainland China should be eased. These changes certainly lead to more problems for Taiwan side and it is urgent to negotiate and sign agreements with China for the Agreement of Trade and Investment in order to secure its benefit in the cross-strait economic development. 2.¡§One-step-forward framework¡¨¡ÐI would like to suggest that the second step of the cross-strait economic development should go one step forward to set up a framework under which the Free Trade Agreement, industries cooperation and Custom Unions to be fulfilled. 3.The setup of the Free Trade Areas¡ÐThe Free Trade Areas can be materialized though discussion between two sides based on ¡§one-step-forward framework¡¨ In this thesis, I found out that the best policy for Taiwan and Mainland China is to construct the Free Trade Areas across the Taiwan Strait under the legal framework of WTO. However, there are some prerequisites needed to be considered as follows: 1.Raising the international competition; 2.Averting to be marginalized under the trend of Regional Economic Integration; 3.Evaluating the complementary structure of industries between Taiwan and Mainland China with an analysis of the background, humanities and history between Taiwan and Mainland China. When the Free Trade Areas to be established in the future, it is recommend that the establishment of a Common Market across the Taiwan Strait will most benefit Taiwan and Mainland in the long run.
Bibliographical Information:

Advisor:none; Hsien-Chao Chang; none

School:National Sun Yat-Sen University

School Location:China - Taiwan

Source Type:Master's Thesis

Keywords:regional economic integration common market across the taiwan strait free trade areas north american agreement normalization of relationship ¡§one step forward framework¡¨ relat european union


Date of Publication:06/19/2003

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