VZCZCXRO0472
RR RUEHGH
DE RUEHIN #3454 2780941
ZNR UUUUU ZZH
R 050941Z OCT 06
FM AIT TAIPEI
TO RUEHC/SECSTATE WASHDC 2497
INFO RUEHBJ/AMEMBASSY BEIJING 5744
RUEHGZ/AMCONSUL GUANGZHOU 9601
RUEHHK/AMCONSUL HONG KONG 6959
RUEHGH/AMCONSUL SHANGHAI 0422
RUEHGV/USMISSION GENEVA 1780
RUEHC/DEPT OF AGRICULTURE WASHDC
RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS TAIPEI 003454 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE PASS USTR 
STATE FOR EAP/TC, 
USTR FOR GRIER AND ALTBACH, 
USDOC FOR 4431/ITA/MAC/AP/OPB/TAIWAN/JDUTTON 
USDA/FAS FOR SHEIKH/MIRELES 
 
E.O. 12958: N/A 
TAGS: ETRD ECON PREL WTRO TW
SUBJECT: TAIWAN CONSIDERS NEW PUSH FOR WTO GPA 
 
REF: TAIPEI 166303 
 
¶1.  AIT ECON Chief delivered reftel demarche jointly with EC 
Representative Brian McDonald on October 5 to Ministry of 
Economic Affairs Deputy Minister Hsieh Fa-dah.  Utilizing 
reftel points, Econ Chief emphasized the need to move forward 
on Taiwan's long-standing commitment to open up Taiwan's 
government procurement market.  He asked for a rapid response 
from Hsieh so the U.S. and the EC could make another effort 
at the WTO to secure agreement for Taiwan to accede to the 
Government Procurement Agreement (GPA).  Econ Chief noted the 
U.S. is not confident the new proposal would be acceptable to 
China while underscoring our view that the existing U.S. - EC 
footnote proposal is a fair and reasonable way to resolve 
outstanding differences. 
 
¶2.  McDonald presented to Hsieh the EC's proposed language 
for Taiwan's accession.  AIT/T has sent the EC's proposed 
text to EAP/TC, USTR (Eric Altbach) and AIT/W by unclassified 
email.  Econ Chief told Hsieh the U.S. has not yet agreed to 
the specific language, but is working closely with  the EC on 
the text and tactics to get Taiwan into the GPA.  He and 
McDonald asked Hsieh for a rapid response from the Taiwan 
side so we can move this issue forward.  Econ Chief noted the 
U.S. desire to move forward on a bilateral government 
procurement agreement with Taiwan if efforts for a 
multilateral agreement fail.  McDonald said the EC would also 
seek a bilateral agreement in the same circumstances. 
 
¶3.  Hsieh said Taiwan would seriously consider the new 
proposal from the U.S. and the EC and respond.  He said this 
issue will require careful review before Taiwan can respond 
because it is a very sensitive issue involving sovereignty. 
He reiterated Taiwan's strong desire to join the GPA while 
noting Taiwan could not accept the existing U.S. - EC 
proposal because of its references to sovereignty. 
WANG