The United States on Wednesday July 14 ruled out a free trade agreement with Taiwan amid a dispute over beef imports, days after the island signed a sweeping accord with longtime adversary China.
"The United States has no plans to begin talks with Taiwan about an FTA at this time," David Shear, the State Department pointman on China-Taiwan ties, said at the Carnegie Endowment for International Peace.
Negotiations between the United States and Taiwan on a Trade and Investment Framework Agreement, often a precursor to a full-fledged FTA, have been dormant since 2007. Shear said such talks would be the best forum to discuss trade.
With lawmakers from farm states leading the charge, the United States has been pressing for years for lucrative Asian markets such as Japan, South Korea and Taiwan to accept more US beef, causing friction with the close US partners.
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.
Despite the disagreement, Shear said he hoped the beef issue would not "overshadow" other trade and he stood by US security commitments to Taiwan. (Source: AFP, Jul 17, 2010).