Chairman Sänger, Mr. McDonald, Representatives from European Countries, Distinguished Guests, Ladies and Gentlemen: Good evening!
It is a great honor for me to attend the Europe Day Dinner this evening as a guest of the European Chamber of Commerce Taipei (ECCT). I am most delighted to join such distinguished company here in celebrating this meaningful day.
This is the fourth time for me to attend this annual event, and on each occasion have been deeply impressed. This year's Europe Day Dinner has special significance because, as we all know, on May 1 the European Union officially welcomed ten new members: the Czech Republic, Hungary, Poland, Slovakia, Slovenia, Latvia, Lithuania, Estonia, Cyprus and Malta. With the Union's successful inclusion of these Eastern European countries, membership has grown to 25. The new EU boasts a population of 450 million, a GDP of $10.4 trillion, and $4.8 trillion in trade, easily surpassing the North American Free Trade Area and making it the largest economic entity in the world. It will certainly play a leading role in international political, economic and trade developments in the coming years.
In my inaugural address, I specifically mentioned EU enlargement as a source of inspiration and guidance for regional cooperation. Over the past decades, the EU has successfully integrated the common interests of the European people, while showing respect for the choices of individual countries and their citizens. We have drawn upon this precious experience to pursue a future trend towards regional integration. The EU success story has led to fundamental changes in the conventional thinking of national sovereignty and territorial boundaries. Soon, a true "universal harmony" will exist as more than just an intangible ideal.
Taiwan has long enjoyed a cordial relationship with Europe; particularly, our economic and trade relations have grown remarkably since the 1980s. In recent years, the EU has become Taiwan's fourth largest trade partner, next only to China, the United States and Japan. The establishment of an Economic and Trade Office in Taiwan by the European Union on March 10 last year marked a new milestone for Taiwan-Europe relations. Not only are we better able to stay abreast of the political and economic developments in both Taiwan and Europe; the office has also made effective and efficient bilateral communication possible.
We believe that the EU's eastward enlargement will give rise to greater cooperation and more opportunities for the development of the Taiwan-EU relationship. Enlargement will benefit both eastern and western Europe with an expanded free market and bring about another wave of economic growth for European countries. The Union-wide alignment of administration, trade regulations, environmental protection, public security and human rights is also expected to foster progress among new members in terms of government efficiency, free market mechanisms, and people's basic human rights and welfare. Taiwan, the Asia-Pacific region and the world as a whole will also benefit from the enlarged EU market and new business opportunities. Taiwan and the new EU member states can share their experiences with regard to democratic developments, as well as benefit from and complement each other in the areas of economy and trade. There is ample room for mutual cooperation. I would like to call on local entrepreneurs to seize this opportunity and promote their businesses in Europe. In addition to developing the central and eastern European markets, they are also encouraged to actively help promote cooperation between Taiwan and European counties in economy, trade and technology, so as to enhance overall relations.
At the same time, we would also like to urge European countries to join us as partners for the next round of economic growth by continuing to invest in Taiwan. You have all witnessed the result of our efforts "to revive the economy and to institute comprehensive reforms" over the past four years. A solid foundation has been established in such areas as improving the investment environment, financial reform and market liberalization. Taiwan's investment environment and competitiveness have received high marks from major international investment evaluation institutions. In the coming year, Taiwan's economy will continue to grow in step with the accelerated revival of the world economy. According to a conservative forecast by the Executive Yuan's Directorate-General of Budget, Accounting and Statistics, the economic growth rate for Taiwan will hit 5.41 percent this year. Non-government institutions are even more optimistic, with most forecasting growth above 6 percent, a sure sign of Taiwan's robust future economic prospects. In this context, we hope to see more European businesses invest and set up production lines in Taiwan. We look forward to the introduction of more advanced technology and expert talent as Taiwan and the EU share the fruits of yet another economic miracle.
As all are well aware, following its geographical enlargement and enhanced integration, the EU is set to extend its international influence. In the future, the EU will play a more important role both in international affairs and in the Asia-pacific region. Taiwan and the EU both respect the universal values of democracy and human rights and uphold the ideal of peace. We believe that democracy and peace are prerequisites for creating regional stability and development. I hope that in the future, as the influence of European countries in international politics grows, the EU will also play a greater role in the Asia-Pacific, and work with us to promote the development of democracy and human rights in Asia, and contribute to the cause of peace and stability in this region and in the Taiwan Strait. It is also my hope that European countries may render more support for the 23 million people of Taiwan to participate in and interact with international organizations.
Taiwan is the 15th largest trade country in the world, but it took Taiwan 12 long years of strenuous effort to become the 144th member of the World Trade Organization (WTO). Over the past eight years, we have committed ourselves to joining the World Health Organization (WHO). In Taiwan's bid for observer status in the WHO this year, we are grateful that both the US and Japan cast their votes for Taiwan. However, it is regrettable that the EU voted against this noble cause, in spite of the European Parliament's support for our WHO bid through several resolutions. As we saw last year, epidemic disease heeds no borders, and we hope that in the future, the EU will set aside political considerations and offer its full support to guarantee Taiwan unimpeded access to the latest health care, hygiene, and disease control expertise. The 23 million people of Taiwan deserve no less.
In closing, I would like to thank the European Chamber of Commerce Taipei and all the ECCT members for your support of the Republic of China. Over more than a decade, you have witnessed Taiwan's democratic and economic development, and have helped promote substantive relations between Taiwan and Europe. Your contributions to our mutual relations cannot be overstated. At this crucial moment, as the EU welcomes its new members and Taiwan embarks on a new wave of political and economic development, both Europe and Taiwan should make steady efforts to reach a new pinnacle for the bilateral relationship.
Thank you very much. I wish all of you good health and happiness.