1. The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information Ministry of Economic Affairs March 3 rd 2009 2009.03.03 10:30

2. 2 The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information (1/6) Title ：  It is provisionally designated as “The Cross-Strait Economic Cooperation Framework Agreement” (ECFA). Formal names in Chinese and English will be determined during future bilateral negotiations. Goals ：  normalization of cross-strait economic and trade relations.  avoidance of being marginalized from regional economic integration schemes.  internationalization of our economy, trade and investments. 國際化

3. 3 Positions ：  We do not adopt model of Hong Kong and Macao; it is not a Closer Economic Partnership Arrangement (CEPA) signed between the Mainland China and Hong Kong and Macao, nor an ordinary free trade agreement (FTA); it is an economic cooperation agreement of a distinctive cross-strait quality and one that does not violate the spirit of the World Trade Organization (WTO).  It will cover matters pertaining to economic cooperation and will not touch on unification, independence, and political issues. The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information (2/6)

4. 4 Content ：  To be decided through bilateral cross-strait negotiations.  Include: trade in goods (tariff and non-tariff measures) trade in services investment protection intellectual property rights safeguard measures economic cooperation trade dispute settlement mechanisms. The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information (3/6)

5. 5 Negotiation principles ：  Our side will adhere to the principles of equality, dignity, and fairness, and will absolutely not humble ourselves.  President Ma’s campaign pledges of not further opening our market to Mainland China’s agricultural exports and not permitting Mainland China’s laborers to come to Taiwan will be maintained. The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information (4/6)

6. 6 Time to proceed ：  Issues that are urgent and that have been reached through consensus between both sides will be handled first. Other issues will be acted on gradually after consensus is reached. The immediate impact of not proceeding ：  Next year, when the ten countries of ASEAN and Mainland China fully implement tariff exemptions based on their FTA, our businesses will be forced out as a result of high tariff barriers, and this will seriously affect employment opportunities for our laborers. The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information (5/6)

7. 7 Other benefits of the agreement ：  It will assist us in pursuing bilateral FTA negotiations with other important trading partners. Input of public opinion and supervision by the Legislative Yuan  Before formal negotiation of the ECFA with Mainland China, symposia or public hearings will be organized to collect public opinion and build consensus.  After the negotiations finish, a draft of the agreement will be sent to the Legislative Yuan for review, and it will go into effect after the Legislative Yuan approves it. The Cross-Strait Economic Cooperation Framework Agreement (ECFA) Basic Information (6/6) n n n n n n n n n n n n n n n n n n n n n n n n n n n n n n n n n nn n n