CEPD urges quick establishment of free trade zones
By Ted Chen, The China PostTAIPEI, Taiwan -- The Council for Economic Planning and Development (CEPD, 經建會) yesterday urged the government to assist in enabling accelerated establishment of free trade zones to stimulate economic growth, while noting that progress in Taiwan is lacking compared to initiatives setup in Shanghai and Japan.
September 9, 2013, 4:11 pm TWN
The CEPD stated that international markets are trending toward deregulation in an effort to stimulate corporate investments and promote economic growth. While Taiwan's position is not threatened by international developments, it needs to increase its pace in setting up free trade zones, said the CEPD.
The first phase of its free trade zone pilot program has been completed, along with proposed deregulation drafts; however, the second phase is still awaiting Legislative Yuan approval, said the CEPD.
Notably, CEPD Minister Kuang Chung-ming (管中閔) earlier left for Osaka and Tokyo, in an effort to attract Japanese investment.
The CEPD noted that Japan in recent years launched a number of free trade zone initiatives based on a bottom-up strategy similar to Singapore, where incentives are provided by local governments, such as waivers of regional taxes for participating foreign enterprises.
The CEPD dispatch also toured Japan's AHQ, or Tokyo's Special Zone for Asian Headquarters, where foreign enterprises are invited to take advantage of tax incentives and set up their headquarters in Japan. It also noted that the AHQ represents part of Japanese Prime Minister Shinzo Abe's so-called third arrow of fiscal structure consolidation.