[Taiwan News] Lower cost for Taiwan electric equipment exports to Japan

After seven years of hard work, Taiwan and Japan finally signed a mutual recognition agreement on electric equipment inspection in 2012. Since then, the trading relationship of the two countries achieved a new milestone.  There are now a total of 731 Taiwanese and Japanese products (277 Taiwanese and 454 Japanese, respectively) being mutually recognized by both governments for regular inspection.  This will lead to a great cost cut for both sides.

The Taiwanese government works very hard on the mutual recognition of inspection standards with important trading partners. In 1999, 2002, 2004, and 2005, the Taiwanese authority signed agreements with the USA, Canada, Australia, New Zealand, and Singapore. Regarding the Japanese government, because of many technological and business concerns from both sides, the discussion took seven years and now it has finally come to fruition.

Electromagnetic inspection on electric products in Taiwan costs about 100,000 NTD and in Japan the price was 300,000 NTD. Together with transportation fee, the cost of doing business was very high and in the long run, it was detrimental to the economy. The total value of the products related to this agreement is around 60 billion NTD. Hence manufacturers and corporations indebted to this agreement expect increased growth in 2013.

During the interview, the Taiwanese authority also mentioned that they are working on the same agreement with the Philippines, India, and Saudi Arabia for further trade expansion.