Just after Taiwan has signed a landmark free trade agreement with China, David Shear, the State Department pointman on China-Taiwan ties, said the “The United States has no plans to begin talks with Taiwan about an FTA at this time.”

The US and Taiwan were previously negotiating a Trade and Investment Framework Agreement in 2007.

According to the AFP, Taiwan and other Asian countries have been hesitant to implement trade agreements with the US due to various agricultural trade disputes, including beef, pork, and poultry.

The countries imposed restrictions in late 2003 after mad cow disease was detected in an American herd. Some scientists believe humans can contract the brain-wasting illness by eating infected animals’ brains and spinal cords.

Taiwan agreed with the United States in October to let in more beef products but the island’s parliament reimposed restrictions three months later after a public outcry.

Read the complete article at Google News: AFP: US rules out Taiwan free trade deal

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According to a report by the ministry, South Korea will launch the joint study, in which government officials, scholars and business representatives from all three countries will participate.The report says that along with the trilateral agreement, the country will continue to push for settling separate bilateral trade agreements with China and Japan.

South Korea has been seeking more economic integration within the Northeast Asia by creating favorable conditions for free trade agreements.

Read the (very brief) complete article.

Analysis: Call South Korea duty-free butter, because it is on a trade agreement roll!

South Korea has been racking up trade agreements with the EU, India, New Zealand, and Canada recently. That is in addition to its existing agreements with Singapore, EFTA, ASEAN, Chile, and Peru.

South Korea is strongly expanding its competitive reach in the global market by offering its already competitive products (specifically cars and electronics) at what will be an even lower cost in markets like the EU, Canada, and New Zealand.

The possibility of this agreement creates even more pressure on the standstill KORUS trade agreement, which is awaiting approval by US Congress. If American products are to remain competitively priced in countries such as China, Korea, and Japan, passing KORUS will be key to their success.

Image courtesy: Wikimedia Commons

President Obama will be soon negotiating a regional, Asia-Pacific trade agreement, known as the Trans-Pacific Partnership (TPP) Agreement, with the objective of shaping a high-standard, broad-based regional pact.

At the recent “APEC and the USA: Looking to 2011 and Beyond” event, Ambassador Ron Kirk stated:

“Because the Asia-Pacific is so vital to America’s economic future, we have also decided to participate in the Trans-Pacific Partnership. Because my vision for America’s Asia-Pacific trade is not limited to one organization, but will embrace every opportunity for growth.

Image Courtesy: Koshyk

“Through the Trans-Pacific Partnership, we have the opportunity to expand U.S. trade in the Asia-Pacific by negotiating and shaping a high-standard trade agreement with key Asia-Pacific economic partners. Right now, the TPP includes Australia, Brunei, Chile, New Zealand, Peru, Singapore, and Vietnam- partners that are geographically and developmentally diverse, but are of one mind in their ambition. Our participation is based on the shared objective of expanding this group to include additional Asia-Pacific economies in what will become the largest, most dynamic trade collaboration of our time.”

If you’re up-to-date on your trade agreements, you’ll recognize that the US already has existing free trade agreements in place with several of these countries – Australia, Chile, Peru & Singapore.

The estimated trade between the US and these regions is approximately $25 billion making this a very powerful trade agreement. With the potential of adding South Korea, Japan, the TPP could grow to be on par with, or larger than, the recent EU-Korea trade agreement ($95 billion) and by including Mexico and Canada, TPP would be even larger than NAFTA ($1 trillion).

The office of the US Trade Rep also announced a new website to provide the public with information regarding the TPP – http://www.ustr.gov/tpp – but it has yet to appear.

The office of the USTR is also seeking public comment by interested parties on this intended trade agreement. Comments must be submitted by January 25th, 2010. USTR will then hold public hearings in early 2010.

• See how to comment in the Federal Register. (PDF courtesy Wiley Rein LLP)
• What specific topics does the USTR need comments for? Read more at Lexology.

USTR Ron Kirk Remarks On Trans-Pacific Partnership Negotiations:

• Read more of the US Trade Rep’s remarks on this free trade agreement

Trans-Pacific Partnership Announcement:

• Additional information courtesy of the USTR.

“This agreement is aimed to help fighting the situation like global crunch, as there will be minimum duties on goods amongst their trading in ASEAN countries. The trade size between India and ASEAN countries is huge and its size is around 48 billion dollars. This Free Trade will come into force from July 2010,” said N Ravi, Secretary (east), Minister of External Affairs while talking to media about the day’s development on Saturday evening.

This trade agreement will come into effect before the EU-South Korea trade agreement as well, considering all EU member-countries must still ratify the agreement. With the approval of Vietnam, the India-ASEAN agreement is poised to be implemented in just 9 months.

Shortly after the India free trade agreement was signed, a trade spat between Philippines and  Thailand broke out regarding rice tariffs within the 10 ASEAN countries. Although ASEAN is busy implementing trade agreements with its neighbors, including China, they are still negotiating the terms to reduce trade barriers and eliminate tariffs within their trading bloc. To give them credit, they do have their own ASEAN anthem.

While in Thailand to work towards creating an EU-style single market, the Philippines – the world’s largest importer of rice – insisted to keep its tariff levels at 35 percent, and in exchange it promised to import 50,000 tonnes of Thai rice duty-free each year. But Thailand, the world’s largest rice exporter, says it wants a quota of more than seven times that amount.

According to the International Centre for Trade & Sustainable Development:

Despite the ongoing feud, the Asian leaders say they will push ahead in their efforts to conclude an ASEAN Trade in Goods Agreement (ATIGA).

”Our negotiations are moving forward,” Blinks Kabigting, a trade official from the Philippines, told Reuters. “We agree not to talk nasty in the press and focus on finding ways to resolve our differences.”

The ASEAN group comprises Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. The combined population of the region is more than twice that of the United States, and leaders hope to create an EU-style single market for the free flow of goods, services, investments and skilled labor by 2015.

WASHINGTON — A senior U.S. lawmaker says he plans to introduce legislation next week that would urge U.S. trade officials to pursue a free trade deal with the Association of Southeast Asian Nations.

Republican Sen. Richard Lugar said Friday that China, India, Australia, New Zealand and South Korea have free trade agreements already with the 10-nation ASEAN and “are sharpening a competitive edge over the U.S. in Southeast Asia.”

Lugar says the United States should “develop a comprehensive strategy toward” U.S.-ASEAN trade talks.

Lugar says U.S. trade restrictions with military-run Myanmar should not prevent a deal with the rest of ASEAN.

President Barack Obama will be in Singapore next month to attend an Asian economic meeting. Lugar’s bill faces uncertain prospects.