President Ma Ying-jeou met on the afternoon of May 1 with Luxembourg Minister of State Jacques Santer and Member of the European Parliament Frank Engel. In addition to extending a cordial welcome to the two on their visit to Taiwan, the president also called on European Union (EU) member states to sign economic cooperation agreements (ECAs) with Taiwan as soon as possible in order to promote joint economic prosperity.
In remarks, the president commented that Mr. Santer previously served as President of the European Commission and as Prime Minister of Luxembourg. He is a distinguished politician, who during his time as the head of the European Commission played an instrumental role in helping to forge the birth of the euro, the president said. Meanwhile, Mr. Engel has visited Taiwan many times and is a very good friend to us, the president added.
President Ma stated that while the ROC and Luxembourg do not have formal diplomatic relations, the two have longstanding close relations. For instance, Taiwan and Luxembourg established aviation links 30 years ago. China Airlines, he said, in 1989 established its Cargo Center Luxair in Luxembourg and presently operates 18 cargo flights between the two countries each week. The volume of goods transported in 2010 rose 85%, the president said, adding that this has become one of the most important cargo routes between Europe and Asia.
In turning to trade, economic, and financial cooperation between Taiwan and Luxembourg, the president stressed that bilateral trade between the two countries last year reached 65.53 million euro, with Taiwan enjoying a trade surplus. Private commercial organizations from the two countries each year hold economic cooperation conferences that help to promote bilateral economic and trade ties, he said. In addition, 77% of the offshore funds marketed here are registered in Luxembourg and are worth some 40 billion euro, or about NT$1.6 trillion. The president stated that over 40 Taiwan listed companies, including China Steel, HTC, Gigabyte, Sampo, and Far EasTone have listed global depositary receipts (GDRs) on the Luxembourg Stock Exchange. Taiwan firms account for about 20% of the GDRs listed in Luxembourg, behind only Indian firms, which account for 57%, he pointed out.
The president stated that during a visit he made to Europe in 1992, he expressed his hope and vision that European companies would invest in Taiwan, and would, through bilateral strategic cooperation, jointly develop the mainland China market. Taiwan and mainland China have already signed the Cross-Straits Economic Cooperation Framework Agreement (ECFA), he said. If EU member states use Taiwan as a springboard from which to export goods to mainland China, they will enjoy tariff-free treatment, he explained.
President Ma stated that the EU is Taiwan's fourth largest trading partner, while Taiwan is the 15th largest trading partner of the EU. Last year, he said, bilateral trade exceeded US$52.5 billion, or about 8.9% of Taiwan's external trade. Last year's trade volume between the two sides also increased 8% from the previous year. Meanwhile, European firms have invested an aggregate of over US$30 billion in Taiwan, which accounts for 30% of total foreign investment in Taiwan and constitutes the largest source of foreign investment. The president added that in light of the European Parliament's passage of a resolution supporting the signing of ECAs between EU member states and Taiwan, if such pacts could be realized, both sides would benefit.
The guests were accompanied to the Presidential Office by Deputy Minister of Foreign Affairs Tung Kuoyu (董國猷) and Yaser Cheng (鄭泰祥), Deputy Director-General of the Ministry of Foreign Affairs' Department of European Affairs. Also attending the meeting was National Security Council Deputy Secretary-General Chih-kung Liu (劉志攻).