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US Bill Proposes Boosting Trade and Travel with Taiwan

‘Enhancing economic involvement benefits both our Taiwanese friends and American employment as well as national security,’ according to one of the sponsors.

U.S. legislators are intensifying their efforts to strengthen tourism and commerce with Taiwan amid escalating tensions across the strait due to suspected Chinese espionage activities and maritime occurrences. These events have also fueled concerns in Taiwan regarding its alliance with the United States.

The bipartisan
Taiwan Travel and Tourism Coordination Act
Introduced by Representative Young Kim, a Republican from California, this legislation mandates that the Commerce Department seek ways to enhance U.S.-Taiwan travel and bolster their tourism sectors.

It would also require a feasibility study of a pre-clearance facility in Taiwan to allow travellers to clear US customs before departing the island – which, if established, would mark a first for the US in the Indo-Pacific region.

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“By further isolating Taiwan, President Xi Jinping is pushing us toward enhancing economic ties, which would be beneficial for our Taiwanese allies as well as for American employment opportunities and national security,” Kim stated on Friday when introducing the legislation.

Representative Raja Krishnamoorthi, an Illinois Democrat and co-sponsor of the bill, stated that this legislation aims to bolster “Taiwan’s resilience against economic intimidation from Beijing.”

“Expanding cultural exchanges with Taiwan will help us create a more dynamic U.S.-Taiwan relationship and enhance stability across the Indo-Pacific region,” he stated.

In February, Senator Marsha Blackburn from Tennessee, a Republican, along with Democratic Senator Brian Schatz from Hawaii, introduced companion legislation in the Senate.

For the bill to be enacted into law, it must first gain approval from both the entire House of Representatives and the Senate before obtaining President Donald Trump’s signature.

Beijing considers Taiwan as a part of China that will ultimately reunite with the mainland, even if military action becomes unavoidable. Although most nations, such as the United States, do not acknowledge the independently governed island as a separate sovereign nation, they oppose using force for unification attempts and have pledged to provide Taiwan with arms support.

Since his inauguration last May, William Lai Ching-te has led Taipei to adopt an increasingly firm position toward Beijing. This month, the Taiwanese leader referred to the mainland as a “foreign hostile force,” vowing to reintroduce military courts to handle Chinese espionage cases and other offenses committed by Taiwanese servicemen.

A collision between a mainland Chinese fishing boat and a Taiwanese warship
in the Taiwan Strait on Thursday
prompted Beijing to accuse Taipei of engaging in “hostile acts.”

In recent times, both Washington and its European partners have more frequently charged Beijing with practicing economic coercion, and they’ve expressed willingness to assist Taiwan in countering this issue.

However, the renewed Trump administration is causing uncertainty regarding U.S. commitments. Since regaining office in January, the president has threatened to impose tariffs on Taiwanese semiconductors and halted military support for Taiwan as part of an extensive pause on international aid.

Furthermore, up until now, the Trump administration has barely addressed the US-Taiwan Initiative on 21st Century Trade, an accord from 2023 designed to enhance trade and counterbalance market imbalances created by China’s state-owned businesses.

Since the start of the new congressional session in January, no official visits by lawmakers to Taiwan have been openly disclosed. In the meantime, Senator Steve Daines from Montana, who belongs to the Republican Party, has taken action.
significant visit to Mainland China
As part of an initiative to stabilize relationships and set the stage for a meeting between Trump and Chinese President Xi Jinping.

Earlier this year, the U.S. House of Representatives approved legislation designed to eliminate double taxation for Taiwanese citizens earning income in the United States, with the aim of boosting international trade. A similar bill has also been proposed in the Senate.

Pei-Yu Wei, a fellow at Dartmouth College’s John Sloan Dickey Center for International Understanding, stated that Taiwanese officials would view bipartisan initiatives such as Kim’s as a “step forward” in alleviating uncertainties regarding Washington’s position on Taiwan.

Wei mentioned that pre-clearance is something Taiwan has been advocating for a considerable duration.

She noted, though, that initiatives aimed at boosting tourism aren’t “as significant in shaping how people perceive the U.S.’s reliability” compared to other elements. She pointed out that Trump’s threatened tariffs on semiconductors were far more impactful in this regard.

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The article initially appeared on the South ChinaMorning Post (www.scmp.com), which is the premier source for news coverage of China andAsia.

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