Joe Biden Signs US-Taiwan Trade Agreement Into Law

President Joe Biden has signed into law a trade agreement with Taiwan, the first under the U.S.-Taiwan Initiative on 21st-Century Trade, South China Morning Post reports.

According to reports, the law mandates the administration to consult Congress for future agreements under the initiative. The agreement, signed on June 1, focuses on streamlining customs procedures, combating corruption and aiding small businesses in both markets. While it aims to bolster the U.S.-Taiwan trade and economic relationship, it does not include any market-access provisions.

The U.S.-Taiwan Initiative on 21st-Century Trade First Agreement Implementation Act was first announced in June. It passed the House in the same month and the Senate in July. The bill’s sponsor, Republican congressman Jason Smith of Missouri, emphasized the importance of Taiwan as a vital ally.

"This legislation strengthens that relationship with this vital ally [Taiwan] and ensures the American people have a powerful voice, through their representatives, in future trade negotiations," Smith said.

The new law also asserts congressional authority over trade policy. It requires the Office of the U.S. Trade Representative to present any future negotiating texts under the initiative to Congress before sharing them with Taiwan. Furthermore, it requires that future agreements not take effect unless made publicly available 60 days before enactment and a bill approving it is passed into law.

Notably, Biden voiced concern over a portion of the law that might infringe upon his constitutional authority to negotiate with a foreign partner, stating that his administration would treat such requirements as non-binding.

Photo by Trevor Bexon on Shutterstock

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