Taipei, Nov. 3, 2008 (CENS)--Taiwan and China may agree to allow flag-of-convenience ships from both sides to engage in direct cross-Taiwan Straits shipping during the talk between P.K. Chiang, chairman of the Straits Exchange Foundation (SEF), and Chen Yunlin, chairman of the Association for Relations Across the Taiwan Straits (ARATS) in Taipei from today (Nov. 3).
Those flag-of convenience ships, or ships with registration in a third country for the consideration of taxation and shipping routes, from both sides will be able to ship not only goods destined for each other but also transshipment goods. In addition, they will be permitted to visit more ports than what were originally expected.
The arrangements will be included in the agreement for direct cross-Strait shipping link, a core item on the agenda of the Chiang-Chen talk, which will take place at Grand Hotel in Taipei. Chen arrived in Taiwan at noontime today, leading a 60-person delegation which consists of Chinese officials and representatives from the fields of transportation and finance.
The engagement of flag-of-convenience ships in the direct-Strait shipping is critical for Taiwanese shipping firms to benefit from the link, since 99% of the latter's ships are flag-of-convenience ships. China abandons its opposition to the arrangement, reportedly because of the growing number of such ships owned by Chinese shipping firms in recent years.
Moreover, China reportedly will open up 48 coastal ports and 12 inland ports to direct cross-Strait shipping.
During the Chiang-Chen talk, China may also agree to allow China's qualified domestic institutional investors (QDII) investing in Taiwan, echoing a similar measure announced by Taiwan's Financial Supervisory Commission (FSC) earlier this year. Financial topics on the agenda of Chiang-Chen talk will also include the signing of memorandum of understanding for cross-Strait financial supervision, which is indispensable for mutual investments of financial institutions of both sides. |
