WT/REG350/1  
19 January 2015  
(15-0349)  Page: 1/39  
Committee on Regional Trade Agreements   
 
 FACTUAL PRESENTATION 
AGREEMENT BETWEEN SINGAPORE AND THE SEPARATE CUSTOMS TERRITORY OF TAIWAN, 
PENGHU, KINMEN AND MATSU ON ECONOMIC PARTNERSHIP 
(GOODS AND SERVICES) 
Report by the Secretariat 
This report, prepared for the consideration of the Agreement between Singapore 
and the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu on 
Economic Partnership has been drawn up by the WTO Secretariat on its own responsibility and in full consultation with the Parties. The factual presentation reproduces as closely as possible the terminology used in the Agreement and in 
the comments provided and does not imply official endorsement or acceptance by 
the Secretariat of such terminology. The report has been drawn up in accordance with the rules and procedures contained in the Decision for a Transparency 
Mechanism for Regional Trade Agreements (WT/L/671) and thus does not imply 
any value judgement by the Secretariat regarding the contents of the Agreement.  
Any technical questions arising from this report may be addressed to 
Ms Jo-Ann Crawford (tel: +41 22 739 5422). Any statistical questions arising from this report may be addressed to Ms Rowena Cabos (tel: +41 22 739 5185). 
 
 WT/REG350/1 
 
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TABLE OF CONTENTS 
Page 
1  TRADE ENVIRONMENT ................................................................................................. 4  
1.1  Merchandise trade ...................................................................................................... 4  
1.2  Trade in services  and invest ment .................................................................................. 6  
2  CHARACTERISTIC ELEMEN TS OF THE AGREEMENT ....................................................... 9  
2.1  Background Information .............................................................................................. 9  
3  PROVISIONS ON TRADE IN GOODS ............................................................................ 10  
3.1  Import duties and charges, and quantitative restrictions ................................................. 10 
3.1.1  General provisions .................................................................................................. 10 
3.1.2  Liberalization of  trade and ta riff lines ......................................................................... 10 
3.1.3  Liberaliza tion schedule ............................................................................................ 10 
3.1.3.1  Singapore ........................................................................................................... 10 
3.1.4  Chinese Taipei ........................................................................................................ 11 
3.1.5  Tariff ra te quotas .................................................................................................... 13 
3.2  Rules of origin ........................................................................................................... 13 
3.3  Export duties and charges, and quantitative restrict ions .................................................. 14 
3.4  Regulatory provisions on trade in goods ........................................................................ 14 
3.4.1  Standards .............................................................................................................. 14 
3.4.1.1  Sanitary and ph ytosanitary measures ..................................................................... 14 
3.4.1.2  Technical barriers to trade ..................................................................................... 14 
3.4.2  Safeguard mechanisms ............................................................................................ 15 
3.4.2.1  Global  safeguards ................................................................................................ 15 
3.4.2.2  Bilateral safeguards .............................................................................................. 15 
3.4.2.3  Balance of Payments ............................................................................................ 16 
3.4.3  Anti-dumping and countervailing measures ................................................................ 16 
3.4.4  Subsidies and State-aid ........................................................................................... 16 
3.4.5  Customs-related procedures ..................................................................................... 16 
3.4.6  Other regulations .................................................................................................... 17 
3.5  Sector-specific provis ions on trad e in goods .................................................................. 17 
3.5.1  Electronic Commerce ............................................................................................... 17 
4  PROVISIONS ON CROSS BORDER TRAD E IN SERVICES AND INVESTMENT ................. 17  
4.1  Cross Border Tr ade in Services .................................................................................... 17 
4.2  Investment ............................................................................................................... 18 
4.3  Denial of benefits ...................................................................................................... 18 
4.4  General provisions on trade in services ......................................................................... 19 
4.4.1  Market  access ........................................................................................................ 19 
4.4.2  National tr eatment and MFN ..................................................................................... 19 
4.4.3  Local presence ....................................................................................................... 19 WT/REG350/1 
 
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  4.4.4  Performanc e Requirements ...................................................................................... 19 
4.4.5  Senior Management and Boards of  Direct ors ............................................................... 20 
4.5  Other investment-related provisions ............................................................................. 20 
4.5.1  Movement of  natural persons ................................................................................... 20 
4.6  Liberalizati on commit ments......................................................................................... 20 
4.6.2  Singapore .............................................................................................................. 21 
4.6.2.1  Horizont al commit ments ....................................................................................... 21 
4.6.2.2  Sector-spe cific commi tments ................................................................................. 21 
4.6.3  Chinese Taipei ........................................................................................................ 24 
4.6.3.1  Horizont al commit ments ....................................................................................... 24 
4.6.3.2  Sector-spe cific commi tments ................................................................................. 24 
4.7  Regulatory provisions ................................................................................................. 27 
4.7.1  Domestic  regulation ................................................................................................ 27 
4.7.2  Recognition ............................................................................................................ 27 
4.7.3  Subsidies ............................................................................................................... 27 
4.7.4  Safeguards ............................................................................................................ 27 
4.8  Sector specific provisions on trade in services ................................................................ 27 
4.8.1  Telecommunica tions Services ................................................................................... 27 
5  GENERAL PROVISIONS OF THE AGREEMENT .............................................................. 28  
5.1  Transp arency ............................................................................................................ 28 
5.2  Current payments and capital movements ..................................................................... 28 
5.3  Balance of Paym ents Safeguards ................................................................................. 29 
5.4  Exceptions ................................................................................................................ 29 
5.5  Accession and Withdrawal ........................................................................................... 30 
5.6  Institutio nal framework .............................................................................................. 30 
5.7  Dispute settlem ent .................................................................................................... 30 
5.8  Relationship with other agr eements concluded by the Parties ........................................... 31 
5.9  Government  procurement ........................................................................................... 32 
5.10  Intellectual property rights ........................................................................................ 34 
5.11  Competition Policy ................................................................................................... 34 
ANNEX ......................................................................................................................... .. 36 
 WT/REG350/1 
 
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Key Facts 
 
Parties to the Agreement:  Singapore and the Separate Customs 
Territory of Taiwan, Penghu, Kinmen and 
Matsu 
 
Date of Signature:   7 November 2013 
 
Date of Entry into Force: 19 April 2014 
 
Date of Notification:  22 April 2014 
 
Full implementation :  1 January 2028 
 
1  TRADE ENVIRONMENT 
1.1  Merchandise trade 
1.1.  The Agreement (hereinafter referred to as "the Agreement") between Singapore and the 
Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu (hereinafter referred to as "Chinese Taipei") on Economic Partnership is their 22nd and sixth RTA, respectively, as notified to 
the WTO.
1 
1.2.  In 2013, Singapore, with a population of 5.4 million, had a GDP estimated at US$298 billion; 
Chinese Taipei had a GDP of US$489 billion, and a population of 23.4 million. In 2013, Singapore's 
merchandise exports amounted to US$410 billion (representing 2.18% of global exports), while 
imports amounted to US$373 billion (1.97% of global imports). In the same year, merchandise 
exports from Chinese Taipei amounted to US$305 bi llion (1.62% of global exports), while imports 
amounted to US$270 billion (1.43% of global impo rts). The structure of their merchandise exports 
are broadly similar, dominated by exports of  manufactures - 70% for Singapore and 83% for 
Chinese Taipei - followed by fuels and mining prod ucts. Exports of agricultural products account for 
only 2% of total exports for both Parties. The Parties share a similar import profile with manufactures accounting for about 60% of total impo rts, followed by fuels and mining products 
(about a third of total imports), while agricultural products account for 5.5% or less.
2 
1.3.  In 2013, Chinese Taipei was Singapore's 10th largest merchandise trade export partner and 
its 5th largest source of imports. In the same year, Singapore was Chinese Taipei's 5th largest 
merchandise export destination and its 7th largest import source.3  
1.4.  Charts 1.1A and 1.1B show global and bila teral trends in merchandise trade for the Parties 
for the period 2000-2013. Singapore's merchandise trade has expanded, with imports rising from 
US$116 billion in 2001 to US$373 billion in 2013, and exports from US$122 billion to 
US$410  billion. After falling in 2009, trade recovered, though growth since 2011 has been slight 
compared to previous years. In the years su rveyed, Singapore has run a steady and growing 
global trade surplus. From 2001, Chinese Taipei's gl obal imports and exports rose steadily with its 
trade surplus widening slightly over the period as the growth in exports outpaced that in imports. 
Trade fell sharply in 2009, but picked up in 2010 with imports reaching US$269 billion and exports US$304 billion in 2013. Bilateral trade expanded during this period with Singapore's exports to 
Chinese Taipei increasing from US$6.3 billion in 2001 to US$15.3 billion in 2013, while exports by 
Chinese Taipei to Singapore increased from US$4.1 billion to US$19.4 billion over the same period. 
Singapore has run a growing trade deficit with  Chinese Taipei over the period surveyed.
4 
 
                                               
1 Source: WTO Regional Trade Agreement Database. 
2 WTO Trade Profiles, September 2014. 
3 Excluding EU-intra trade. 
4 All figures in paragraph 1.4 are based on UN COMTRADE database. WT/REG350/1 
 
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  Chart 1.1 Singapore and Chinese Taipei: Merchandise bilateral trade and with world, 
2001-2013  
01020304050
0100200300400500
2001 2003 2005 2007 2009 2011 2013B. Chinese Taipei
(US$ Billion)
Imports from Singapore (Right Axis)
Exports to Singapore (Right Axis)
Total Imports
Total Exports
01020304050
0100200300400500
2001 2003 2005 2007 2009 2011 2013A. Singapore
(US$ Billion)
Imports from Chinese Taipei (Right Axis)
Exports to Chinese Taipei (Right Axis)
Total Imports
Total Exports
 
Source: UNSD, Comtrade database. 
1.5.  The commodity structure of trade among the Parties, as well as of their imports and exports 
to the world in the period 2011-2013, is shown in Chart 1.2 on the basis of Harmonized 
System (HS) sections. Over the period 2011-2013, Singapore's four largest export product 
categories – machinery, minerals, chemicals and plastics – made up 75.3% of its total exports and accounted for 87.6% of Chinese Taipei's imports from Singapore. Over the same period, the four 
largest export product categories from Chinese Taipei – machinery, base metals, plastics, and 
optical equipment – made up 71.8% of its total exports and accounted for 74% of Singapore's bilateral imports. 
Chart 1.2 Singapore and Chinese Taipei: pr oduct composition of merchandise trade, 
annual average (2011-2013)  
 
Source: UNSD, Comtrade database. WT/REG350/1 
 
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  1.2  Trade in services and investment 
1.6.  In 2013, services exports from Singapore amounted to US$122.1 billion accounting for 
2.63% of world exports, and imports to US$128.4 billion accounting for 2.93% of world imports. 
For Chinese Taipei, exports amounted to US$51.4 billion (1.11% of world exports), and imports to 
US$41.7 billion (0.95% of world imports).5  
1.7.  Chart 1.3 depicts Singapore's trade flows in services with the world and with Chinese Taipei 
by type of activity. In 2013, transportation serv ices accounted for 33.9% of Singapore's global 
services exports, followed by other business serv ices (21.5%) and financial and insurance services 
(17.3%). Transportation services accounted for the largest import share, accounting for 28.5%, followed by other business services (24%) and trav el services (19%). In 2012, transport services 
accounted for 51.3% of Singapore's services export s to Chinese Taipei, followed by financial and 
insurance services (19.8%) and other business  services (16.2%). Other business services 
accounted for 56.1% of Singapore's imports from  Chinese Taipei, followed by financial and 
insurance services (23.2%) and transportation services (17.4%). 
Chart 1.3 Singapore's Trade in Commercial Services with world and Chinese Taipei  
 
Note:  No bilateral trade on Travel, Government Good s and Services, Construction and Personal, Cultural 
and Recreational Services (2010-2012). 
 Based on BPM6 methodology. 
Source: Singapore Depart ment of Statistics. 
1.8.  Chart 1.4 depicts Chinese Taipei's trade flows in services with the world by type of activity. In 
2013, other business services accounted for 46.4% of Chinese Taipei's global services exports, followed by travel (24.7%) and transportation serv ices (19.6%). Travel services accounted for the 
                                               
5 WTO Trade Profiles, September 2014. WT/REG350/1 
 
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  largest import share, accounting for 29.5%, followed by other business services (27.8%) and 
transportation services (25.3%). 
Chart 1.4 Chinese Taipei: Trade in Co mmercial Services with world, 2001-2013  
0102030405060
2001 2003 2005 2007 2009 2011 2013A. Chinese Taipei's imports from world
(US$ Billion)
0102030405060
2001 2003 2005 2007 2009 2011 2013B. Chinese Taipei's exports to world
(US$ Billion)
 
Note: Based on BPM5 methodology. 
Source: WTO Statistics database an d Chinese Taipei authorities. 
1.9.  Chart 1.5 depicts FDI stock and flow with the world for the Parties for the period 2000-2013. 
Singapore is a net recipient of global FDI in terms of both stocks and flows over the period analysed, while Chinese Taipei is a net provider. WT/REG350/1 
 
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  Chart 1.5 Singapore and Chinese Taipei: FDI stock and flow with world, 2000-2013 
0100200300400500600700800900
2000
20012002
2003
2004200520062007200820092010201120122013A. Singapore FDI stock with world
(US$ Billion) 
Outward
 Inward
0100200300400500600700800
2000
2001
20022003200420052006
2007
20082009201020112012
2013B. Chinese Taipei FDI stock with world
(US$ Billion) 
Outward
 Inward
-10010203040506070
2000
2001
2002
2003
2004
2005
2006
2007
20082009
2010
2011
2012
2013C. Singapore FDI flow with world
(US$ Billion) 
Outward
 Inward
-100102030405060
2000
2001200220032004200520062007200820092010201120122013D. Chinese Taipei FDI flow with world
(US$ Billion) 
Outward
 Inward
 
Source: UNCTADStat, Singapore Department of Statistics and Chinese Taipei authorities. 
1.10.  Chart 1.6 depicts Singapore's FDI stock with world and Chinese Taipei (2010-2012). Over 
the period surveyed, Singapore's inward FDI stock from Chinese Taipei has increased. 
Chart 1.6 Singapore: FDI stock with Chinese Taipei and world, 2010-2012 
 
Source: Singapore Department of Statistics. 
1.11.  Chart 1.7 depicts Chinese Taipei's FDI stock and flow with Singapore (2011-2013). WT/REG350/1 
 
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  Chart 1.7 Chinese Taipei: FDI stock an d flow with Singapore, 2011-2013 
 
024681012
2011 2012 2013A. Chinese Taipei FDI stock with Singapore
(US$ Billion) 
Outward
 Inward
024681012
2011 2012 2013B. Chinese Taipei FDI flow with Singapore
(US$ Billion) 
Outward
 Inward
 
Source: Chinese Taipei authorities. 
2  CHARACTERISTIC ELEMENTS OF THE AGREEMENT 
2.1  Background Information 
2.1.  The Agreement covers goods and services. It was signed by the Parties on 7 November 2013 
and entered into force on 19 April 2014.  
2.2.  The Agreement was notified to the WTO by the Parties on 22 April 2014 under 
Article XXIV:7(a) of GATT 1994 and Article V:7(a) of the GATS (WT/REG350/N/1 and S/C/N/739). 
The text of the Agreement, along with its schedules  and annexes, is available on the website of the 
Parties' authorities.6 
2.3.  The Agreement contains 17 Chapters and a number of integral Annexes. (Box 2.1).  
Box 2.1 Structure of the Agreement 
 Preamble 
Chapter 1 General Provisions 
Chapter 2 General Definitions 
Chapter 3 Trade in Goods  
Chapter 4 Rules of Origin 
Chapter 5 Customs Procedures  
Chapter 6 Sanitary and Phytosanitary measures 
Chapter 7 Technical Barriers to Trade 
Chapter 8 Cross Border Trade in Services 
Chapter 9  Investment 
Chapter 10 Competition 
                                               
6 For Singapore: 
http://www.iesingapore.sg/astep  
For Chinese Taipei: 
http://www.moea.gov.tw/Tse/main/home/Home.aspx  WT/REG350/1 
 
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   Preamble 
Chapter 11 Electronic Commerce  
Chapter 12 Government Procurement 
Chapter 13 Intellectual Property Cooperation 
Chapter 14 Transparency 
Chapter 15 Dispute Settlement 
Chapter 16 Exceptions 
Chapter 17 Administration and Final Provisions 
Source: The Agreement. 
3  PROVISIONS ON TRADE IN GOODS 
3.1  Import duties and charges,  and quantitative restrictions 
3.1.1  General provisions 
3.1.  Trade in goods between the Parties is governed by Chapter 3. The Parties agree to grant 
national treatment to each other's goods in accord ance with Article III of GATT 1994 (Article 3.3). 
They agree to ensure in accordance with GATT Arti cle VIII.1 that all fees and charges of whatever 
character (other than customs duties, charges equivalent to an internal tax or other internal 
charge applied consistently with GATT Article III.2, and anti-dumping and countervailing duties) 
imposed or in connection with import and export are limited in amount to the approximate cost of 
services rendered and do not represent an indirect protection to local goods or a taxation on 
imports or exports for fiscal purposes (Article 3.6). No Party shall require consular transactions, including related fees and charges, in connection with the import of any good of the other Party. The Parties shall make available and maintain electronically a current list of the fees and charges 
imposed in connection with imports and exports. 
3.1.2  Liberalization of trade and tariff lines 3.2.  The Parties shall eliminate customs duties on originating goods of the other Party in 
accordance with the tariff schedules set out in Annexes 3A and 3B. The Parties shall not increase 
an existing customs duty, introduce a new customs duty or impose an additional customs duty on 
the import of originating goods (Article 3.4). 
3.3.  The Parties shall not adopt or maintain any non-tariff measures that prohibit or restrict the 
import of any good of the other Party except in accordance with their WTO rights and obligations, or in accordance with other provisions of the Agreement (Article 3.9). 
3.4.  Except as otherwise provided in the Agreem ent, the Parties shall not adopt or maintain any 
prohibition or restriction on the import of any good destined for the other Party, except in 
accordance with GATT Article XI (Article 3.11). 
3.1.3  Liberalization schedule 
3.1.3.1  Singapore 
3.5.  Singapore eliminated customs duties on all goods immediately upon the entry into force of 
the Agreement in 2014.
7 
3.6.  Table 3.1 shows the scheduled elimination in terms of tariff lines and trade, as applied by 
Singapore to imports from Chinese Taipei. Follow ing the entry into force of the Agreement, the 
six lines subject to MFN duties became duty-free for imports from Chinese Taipei.  
                                               
7 Singapore's applied tariff in 2014 consisted of 9,558 lines at the HS eight-digit level, 99.9% of which 
had zero rates of duty on an MFN basis and 6 lines had specific tariffs. WT/REG350/1 
 
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  Table 3.1 Singapore: Tariff elimination commitments under the Agreement and 
corresponding average trade 
Duty phase-out 
period Number 
of lines % of total lines in 
Singapore's tariff 
schedule Value of Singapore's 
imports from Chinese 
Taipei 
(2011-2013) 
in million US$ % of Singapore's total 
imports from  
Chinese Taipei 
2011-2013 
MFN duty free (2014) 9,552 99.9 25,300.6 99.997 
2014 6 0.1 0.8 0.003 
Total 9,558 100.0 25,301.3 100.0 
Note: Based on the HS 2012 nomenclature. 
Source:  WTO estimates based on data from WTO-IDB database. 
3.7.  Table 3.2 shows Singapore's tariff elimination, by HS section. The 6 lines liberalized on the 
entry into force of the Agreement are in HS Section IV and correspond to some alcoholic 
beverages.8  
Table 3.2 Singapore: Tariff elimination under the Agreement, by HS Section  
HS Section MFN average%  No. of lines MFN duty-free  
Lines 
2014 Number of duty-
free lines in 2014 
under the 
Agreement 
I 0.0 521 521  
II 0.0 474 474  
III 0.0 156 156  
IV 0.0 a 443 437 6 
V 0.0 204 204  
VI 0.0 1,157 1,157  
VII 0.0 480 480  
VIII 0.0 100 100  
IX 0.0 157 157  
X 0.0 269 269  
XI 0.0 1,079 1,079  
XII 0.0 74 74  
XIII 0.0 215 215  
XIV 0.0 81 81  
XV 0.0 909 909  
XVI 0.0 2,067 2,067  
XVII 0.0 565 565  
XVIII 0.0 329 329  
XIX 0.0 27 27  
XX 0.0 239 239  
XXI 0.0 12 12  
Total 0.0 9,558 9,552 6 
a 6 tariff lines with specific duti es are not included in the calculation of average MFN tariffs. 
Note: Based on the HS 2012 nomenclature. Source:  WTO estimates based on data from the WTO-IDB database. 
3.1.4  Chinese Taipei 
3.8.  As shown in Table 3.3, 29.5% of Chinese Taipei's tariff lines were duty free on an MFN basis 
in 2014, corresponding to 80.5% of Chinese Taipei's total imports from Singapore in 2011-2013.9 
Following the Agreement's entry into force, Chinese Taipei liberalized an additional 53.6% of lines, 
representing 17.8% of its imports from Singapor e in 2011-2013. Ten years after entry into force a 
total of 99.1% of tariff lines will have been liberalized. Liberalization continues until 2028 at which 
point 99.5% of tariff lines, corresponding to 99.8 % of imports from Singapore will be duty free. 
A total of 46 lines will remain subject to duties. 
                                               
8 The products are stout or porter (HS 22030010); other beer including ale (HS 22030090); and 
medicated samsu (HS 22089010, 22089020, 22089030, and 22089040). 
9 Chinese Taipei's tariff schedule is composed of 8,928 lines at the HS-8 digit level of which 8,757 
(98.08%) are subject to ad valorem duties, 92 are subject to specific duties and 79 to mixed duties. WT/REG350/1 
 
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  Table 3.3 Chinese Taipei: Tariff eliminat ion commitments under the Agreement and 
corresponding average trade 
Duty phase-out 
period Number 
of lines % of total lines in 
Chinese Taipei's 
tariff schedule Value of Chinese 
Taipei's imports from 
Singapore 
(2011-2013) 
in million US$ % of Chinese Taipei's 
total imports from  
Singapore 
2011-2013 
MFN duty free (2014) 2,633 29.5 6526.7 80.5 
2014 4,781 53.6 1439.4 17.8 
2018 421 4.7 86.9 1.1 
2023 1,006 11.3 38.1 0.5 
2028 41 0.5 0.0 0.0 
Remain dutiable 46 0.5 13.1 0.2 
Total 8,928 100.0 8,104.3 100.0 
Note: Based on the HS 2012 nomenclature. 
Source:  WTO estimates based on data from the Chinese Taipei authorities. 
3.9.  In the case of Chinese Taipei, the lines subj ect to liberalization ten or more years after the 
Agreement's entry into force fall in HS Sections I-IV (Table 3.4). 
Table 3.4 Chinese Taipei: Tariff eliminat ion under the Agreement, by HS Section  
HS 
Section MFN 
average 
% No. of 
lines MFN duty-free lines 
2014 Number of duty-free 
lines under the 
Agreement Remain 
dutiabl
e Avg. 
Final 
Tariff 
(Dutiable
) 2014  201
8 2023  202
8 
I 18.6 707 66 447 33 144 8 9 82.9 
II 22.3 561 165 216 2 144 11 23 200.1 
III 12.7 78 28 43 4 1 2   
IV 18.3 467 55 176 25 177 20 14 29.6 
V 1.0 231 156 72 3     
VI 2.6 1,427 492 878 44 13    
VII 4.8 355 12 292 49 2    
VIII 3.3 87 34 32 9 12    
IX 1.9 154 112 32 10     
X 0.0 182 182       
XI 8.8 1,208 47 610 168  383    
XII 6.0 76 7 58 5 6    
XIII 6.7 257 10 231 7 9    
XIV 0.1 76 75 1      
XV 2.6 894 530 349 7 8    
XVI 3.6 1,293 335 866 27 65    
XVII 9.0 257 58 140 26 33    
XVIII 2.6 363 162 197 1 3    
XIX 1.7 21 14 7      
XX 3.2 224 83 134 1 6    
XXI 0.0 10 10       
Total 7.3 8,928 2,633 4,78
1 421 1,00
6 41 46 125.3 
Note: For the calculation of averages, specific duties are excluded and the AVEs provided by the authorities 
or the ad valorem compound were used. 
 Based on the HS 2012 nomenclature. 
Source:  WTO estimates based on data from the Chinese Taipei authorities. 
3.10.  At the HS Chapter level, tariffs will conti nue to apply in 11 Chapters (Chart 3.1). In all but 
one HS Chapter, preferential tariffs are the same as the MFN rate. In HS Chapters 5, 19, 11 and 
12, preferential duties are 500% 303%, 271% and 239%, respectively. In HS Chapter 24 
(tobacco) the preferential tariff is lower than the MFN rate indicating that some tariff commitments have been made on these tariff lines under the Agreement.  WT/REG350/1 
 
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  Chart 3.1 Chinese Taipei: Average of dutiable rates, by HS Chapter  
050100150200250300350400450500
4 5 7 8 1 01 11 21 71 92 02 4Rate of duty (%)
HS Chapter
MFN Preferential 
Note:  For the calculation of averages, specific duties  are excluded and the AVEs provided by the authorities 
or the ad valorem  compound were used. Based on the HS 2012 nomenclature. 
Source:  WTO estimates based on data from the Chinese Taipei authorities. 
3.1.5  Tariff rate quotas 
3.11.  There are no tariff rate quotas established under the Agreement.  3.2  Rules of origin 
3.12.  Chapter 4 and Annexes 4A-E concern rules of origin. 
3.13.  Article 4.1 sets out definitions used in the Chapter. Article 4.2 concerns originating goods. A 
good is considered to be originating if it is either (a) wholly obtained or produced entirely in a 
Party pursuant to the definition in Article 4.1 of  the Agreement, (b) produced entirely in one or 
both Parties exclusively from materials whose origin conforms to the provisions of Chapter 4, (c) produced in one or both Parties using non-originating materials that conform to a change in tariff classification (CTC) requirement, a regional  value content (RVC) requirement (as provided for 
in Article 4.3) or other requirements as specified in Annex 4B, and the good meets the other 
applicable provisions of Chapter 4, or (d) otherwise provided as an originating good under Chapter 4.  
3.14.  Article 4.4 outlines a list of operations that do not confer origin. The rules on accumulation 
permit originating materials from a Party, incorporated in the production of a good in the other Party, to be considered as originating in the other Party (Article 4.5). The de minimis rules in 
Article 4.6 permit a good that does not satisfy the CTC requirement pursuant to Annex 4B to 
nonetheless be considered as originating if the value of all non-originating materials used in its production that did not meet the CTC requiremen t does not exceed 10% of the transaction value 
of the given good and the good meets all other app licable criteria of the Chapter. Articles 4.7-4.10 
deal, respectively, with accessories, spare parts, and tools; packaging materials and containers for 
retail sale; packing materials and containers for shipment; and indirect materials. Article 4.11 provides that goods will retain their originating status if transited through one or more non-Parties 
provided they did not undergo operations other th an unloading, reloading, or any other operation 
necessary to preserve them in good condition, and did not enter the commerce of such non-Parties while in transit.  
3.15.  Outward processing is permitted provided that certain conditions are respected 
(Article 4.12). Annex 4C contains a list of goods in HS Chapters 40, 70, 82, 84, 85, 87, 90 and 94 that are eligible for outward processing. Article 4.13 outlines the conditions relating to the determination of fungible goods and materials as originating goods.  WT/REG350/1 
 
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  3.16.  Section B of Chapter 4 sets out the customs procedures relating to origin. A claim for 
preferential tariff treatment must be based on a De claration of Origin (laid out in Annex 4E of the 
Agreement) and signed by an exporter or producer of a Party. Exceptions from a Declaration of Origin is granted where the customs value does not exceed US$1,000 or equivalent (or higher 
amount as may be established by a Party), provided that the import does not form part of a series 
of imports that may be considered to have been undertaken for the purpose of avoiding the declaration requirements. The importing Party may conduct a verification of origin in accordance 
with Article 4.18.  
3.17.  Annex 4B contains the product specific rules of origin that confer originating status. The 
product specific rules applying to industrial goods provide for the most part for a change in tariff classification (CTC) at the Chapter, Heading or Su b-heading level. For most goods, an alternative 
is provided through the addition of an RVC re quirement of 35-45%. Textiles and clothing are for 
the most part subject to product specific rules or a RVC requirement. Processed agricultural products are mostly subject to a CTC or RVC (ranging from 35% to 45%) requirement, while 
unprocessed agricultural products are subject to a CTC or Wholly Obtained requirement.  
3.3  Export duties and charges,  and quantitative restrictions 
3.18.  The Parties shall not adopt or maintain any duty, tax or other charge on the export of goods 
to the other Party (Article 3.5). The Parties shall not adopt or maintain any non-tariff measures 
that prohibit or restrict the export of any good destined for the other Party except in accordance with their WTO rights and obligations, or in accordance with other provisions of the Agreement (Article 3.9). 
3.19.  Except as otherwise provided in the Agreem ent, the Parties shall not adopt or maintain any 
prohibition or restriction on the export or sale for export of any good destined for the other Party, except in accordance with GATT Article XI (Article 3.11). 
3.4  Regulatory provisions on trade in goods 
3.4.1  Standards 3.4.1.1  Sanitary and phytosanitary measures 
3.20.  Chapter 6 deals with Sanitary and Phytosan itary (SPS) measures. In Article 6.1 the Parties 
set out the objectives of the Chapter while Article 6.2 lays out general principles. The WTO Agreement on SPS Measures is incorporated into the Agreement, mutatis mutandis .  
3.21.  The Parties agree to give favourable consideration to any reasonable request by the other 
Party about SPS measures and shall provide relevant documentation within a reasonable time. 
They shall explore opportunities for further cooperation and collaboration on SPS matters of mutual interest and give favourable consideration to accepting the equivalence of each other's SPS 
measures (Article 6.3). Each Party shall designate a coordinator, responsible for coordination and 
communication with the other Party's coordinator in  matters of relevant to  the SPS Chapter. The 
coordinator may facilitate the establishment of Technical Working Groups.
10 Upon entry into force 
of the Agreement, the Parties shall exchange in formation on the coordinators and competent SPS 
authorities and shall notify each other of any significant change on the structures, organizations and divisions of the competent SPS authorities and coordinators. 
3.4.1.2  Technical barriers to trade 
3.22.  Chapter 7 concerns technical barriers to trade (TBT). The objectives of the Chapter are set 
out in Article 7.1. In Article 7.3 the Parties affi rm their existing rights and obligations under the 
TBT Agreement. Chapter 7 does not apply to SPS me asures and purchasing specifications prepared 
by governmental bodies for production or cons umption requirements of governmental bodies 
which are covered by the Chapter on government  procurement. Chapter 7 applies to all goods 
                                               
10 The Parties have indicated that as of December 2014 technical working groups have yet to be 
established. WT/REG350/1 
 
- 15 - 
 
  and/or assessments of manufacturers or manufac turing processes of goods traded between the 
Parties, regardless of the origin of those goods.  
3.23.  On standards, the Parties shall use international standards or their relevant parts as a basis 
for their technical regulations and related conformity assessment procedures where relevant 
international standards exist or their completion is imminent, except where such standards are 
ineffective or inappropriate to fulfil legitimate objectives. In determining whether an international standard, guide or recommendation within the me aning of the TBT Agreement exists, the Parties 
shall base their determination on the Decision contained in WTO document G/TBT/1/Rev.10.  
3.24.  Under Article 7.5 on trade facilitation, the Pa rties shall cooperate and jointly identify work in 
the field of standards, technical regulations and conformity assessment procedures with a view to 
facilitating market access, which may include cooperation on regulatory issues such as the 
harmonization of technical regulations and standards, alignment to international standards, 
reliance on a supplier's declaration of conformity, and use of accreditations to qualify conformity assessment bodies. Article 7.6 concerns conformity assessment procedures. The Parties agree to 
intensify their exchange of information on the variet y of mechanisms to facilitate the acceptance of 
conformity assessment results or certification. They shall seek to ensure that conformity 
assessment procedures applied between them facilita te trade by ensuring that they are no more 
restrictive than necessary to provide an importing Party with confidence that products conform 
with the applicable technical regulations, taking into account the risk that non-conformity would create. Upon request, a Party shall explain its reas ons for not accepting the results of a conformity 
assessment procedure performed in the other Party. Each Party shall accredit, approve, licence or 
otherwise recognize conformity assessment bodies in the other Party on terms no less favourable 
than those it accords to its own such bodies. A Party shall explain a refusal to recognize a conformity assessment body in the other Party, upon request.  
3.25.  In Article 7.7 the Parties agree to informat ion exchange. Article 7.8 concerns confidentiality. 
In order to facilitate the implementation of the Chapter and cooperation between the Parties, each Party shall designate a coordinator as specified in Annex 7 who is responsible for coordinating and 
communicating with interested persons. The provisions of the Mutual Recognition Arrangement on 
Conformity Assessment between the Bureau of Standards, Metrology and Inspection and the 
Standards, Productivity and Innovation Board , done on 28 November 2005, the Agreement 
between the Taipei Representative Office in Singap ore and the Singapore Trade Office in Taipei on 
Information Relating to Consumer Product Safety , done on 19 October 2010, and the APEC Mutual 
Recognition Arrangement for Conformity Assessment of Telecommunications Equipment , as 
amended from time to time are, mutatis mutandis , incorporated into the Agreement (Article 7.10). 
3.4.2  Safeguard mechanisms 
3.4.2.1  Global safeguards 3.26.  The Parties maintain their rights and obligations under GATT Article XIX and the 
WTO Agreement on Safeguards (Article 3.14). At the request of the other Party, the Party 
intending to take safeguard measures shall immediately provide written notification of all pertinent information on the initiation of a safeguard investigation, the provisional findings, and the final findings of the investigation. No Party shall apply, with respect to the same good, at the same 
time: a bilateral safeguard measure; and a measure under GATT Article XIX and the Agreement on 
Safeguards. 
3.4.2.2  Bilateral safeguards 
3.27.  A Party may apply a safeguard measure if, as  a result of the reduction or elimination of a 
customs duty an originating good of the other Party is being imported by the Party, in such increased quantities, in absolute terms or relative to local production and under such conditions as 
to cause or threaten to cause serious injury, or a threat thereof,
11 to a local industry producing like 
or directly competitive goods. The importing Party may suspend the further reduction of any customs duty on the good concerned or increase the duty on the good to a level not to exceed the 
                                               
11 Defined in accordance with Article 4.1(a) and (b) of the WTO Agreement on Safeguards. WT/REG350/1 
 
- 16 - 
 
  lesser of the MFN tariff applied at the time the measure is taken or on the day immediately 
preceding the date of entry into force of the Agreement (Article 3.14). 
3.28.  A Party shall notify in writing the initiation of an investigation and consult with the other 
Party as far in advance of applying a bilateral safeguard measure as practicable. A measure may 
only be applied following an investigation in accordance with Articles 3 and 4.2(c) of the 
Agreement on Safeguards. The investigation shall be completed within one year following the date of initiation. Neither Party may apply a bilateral safeguard measure except to the extent and for 
such a period of time as necessary to prevent or remedy serious injury and to facilitate 
adjustment; or for a period exceeding three years (which may be extended by up to two years if 
the measure continues to be necessary to prevent or remedy serious injury and to facilitate adjustment and there is evidence that the industry  is adjusting). Upon termination of the measure, 
the rate of customs duty shall be the rate which would have been in effect but for the measure. 
3.29.  In critical circumstances a Party may apply a bilateral safeguard measure on a provisional 
basis not exceeding 200 days. Should the investigation not result in a finding of serious injury or 
threat thereof, the Party applying the measure shall promptly refund any tariff increases. 
3.30.  A Party applying a bilateral safeguard measure shall consult with the other Party in order to 
mutually agree on appropriate trade liberalizing compensation in the form of concessions having 
substantially equivalent trade effects or equivalent to the value of the additional duties expected to 
result from the safeguard measure. In the abse nce of an agreement on compensation, the Party 
whose goods are subject to the safeguard measure may take action with respect to goods of the 
other Party that has trade effects substantially equivalent to the safeguard measure.  
3.4.2.3  Balance of Payments 
3.31.  The provisions on Balance of Payments are covered in Section 5 of the factual presentation. 
3.4.3  Anti-dumping and countervailing measures 
3.32.  The Parties reaffirm their commitment to abid e by the provisions of Article VI and the XVI of 
the GATT 1994 (Article 3.12) and maintain th eir rights and obligations under the WTO 
Anti-Dumping Agreement (Article 3.13). 
3.4.4  Subsidies and State-aid 
3.33.  The Parties reaffirm their commitment to ab ide by the provisions of the WTO Agreement on 
Subsidies and Countervailing Measures and the WTO Agreement on Agriculture (Article 3.12).They agree to prohibit export subsidies on all goods, including agricultural goods. 
3.4.5  Customs-related procedures 
3.34.  Chapter 5 sets out the provisions on customs procedures. Customs procedures of the Parties 
shall conform where possible with the standards and recommended practices of the World Customs 
Organization (Article 5.2). The Parties shall ensure that their laws, regulations, procedures and 
administrative rulings of general application gove rning customs matters are promptly published on 
the Internet; shall publish in advance any regulations of general application governing customs 
matters that they propose to adopt and provid e interested persons with the opportunity to 
comment before adoption; and establish and maintain one or more inquiry points to address inquiries.  
3.35.   The Parties shall adopt a risk management approach in their customs activities based on 
their identified risk of goods thus facilitating clearance of low-risk consignments, while focusing 
inspection activities on high-risk goods (Article 5.5). They agree to facilitate the exchange of 
information on best practices in relation to customs procedures (Article 5.6). They shall provide 
importers and exporters with access to administrative review by an authority supervising customs 
administration and judicial review of the determination taken at the final level of administrative review, in accordance with their laws. Notice of the decision on appeal, together with the reasons 
for such decision shall be given in writing (Article 5.7). WT/REG350/1 
 
- 17 - 
 
  3.36.  The Parties shall maintain or establish a single window through which documentation and/or 
data requirements have to be submitted only once online in electronic form (Article 5.8). Each Party shall provide through its customs administration and in accordance with provisions laid down by its laws and regulations, for written advance rulings in respect of tariff classification and origin 
of goods to be issued to importers, or to exporters or producers in the other Party concerning 
questions on tariff classification, origin of goods and the application of the Customs Valuation Agreement. The Parties shall adopt or maintain procedures in order to issue such written advance 
rulings (Article 5.9). Rulings shall be made within 90 days (Article 5.9). The Parties shall determine 
the customs value of goods traded between them in  accordance with the provisions of GATT Article 
VII and the Customs Valuation Agreement (Article 5.10). 
3.4.6  Other regulations 
3.5  Sector-specific provisions on trade in goods 
3.5.1   Electronic Commerce 3.37.  Chapter 11 deals with Electronic Commerce . The Parties recognize the economic growth and 
opportunity that electronic commerce provides, and the importance of avoiding barriers to its use 
and development. They agree not to impose cust oms duties on electronic transmissions between 
them. Further provisions of the Chapter deal with non-discriminatory treatment, authentication 
and electronic signatures, paperless trading, and cooperation.  
4  PROVISIONS ON CROSS BORDER TR ADE IN SERVICES AND INVESTMENT 
4.1  Cross Border Trade in Services 4.1.  Chapter 8 covers measures adopted or mainta ined by a Party affecting cross border trade in 
or supply of services (CBTS) by service supplie rs of the other Party. These include measures 
affecting: (i) the production, distribution, market ing, sale and delivery of a service; (ii) the 
purchase or use of, or payment for, a service; (iii) the access to and use of distribution, transport, 
or telecommunications networks and services in connection with the supply of a service; (iv) the 
presence of a service supplier of the other Party; and (v) the provision of a bond or other form of 
financial security as a condition for the supply of a service. The Parties' lists of non-conforming 
measures (exceptions from the core disciplines of the CBTS and Investment chapters) are 
contained in Annexes 8B:I and 8B:II.  
4.2.  Under the Agreement, CBTS means the supply of a service: i) from one Party into the other 
Party (mode 1); ii) in one Party by a person of th at Party to a person of the other Party (mode 2); 
or iii) by a service provider of a Party through presence of natural persons of a Party in the other 
Party (mode 4). CBTS does not include the supply of a service in a Party by an investor of the other Party or a covered investment as defined in Article 9.1 (Investment). 
4.3.  Chapter 8 does not apply to measures affecting the supply of financial services as defined in 
paragraph 5(a) of the GATS Annex on Financial Services;
12 government procurement; air services 
including domestic and international air transportation services, whether scheduled or 
non-scheduled and related services in support of air services, other than aircraft repair and 
maintenance services, the selling and marketing of air transport services, and computer reservation system services; and subsidies or grants provided by a Party, including government-supported loans, guarantees and insura nce, or any conditions attached to the receipt 
or continued receipt of such subsidies or grants, whether or not such subsidies or grants are 
offered exclusively to local services, service consumers or service suppliers. In addition, the Chapter does not apply to services supplied in the exercise of governmental authority.  
                                               
12 The Parties' obligations with respect to measures affecting the supply of financial services are in 
accordance with their obligations under GATS, the GATS Annex on Financial Services  and the GATS Second 
Annex on Financial Services , subject to any reservations thereto.  Th ese obligations are incorporated into the 
Agreement. WT/REG350/1 
 
- 18 - 
 
  4.2  Investment 
4.4.  Chapter 9 on investment applies to measures  adopted or maintained by a Party relating to: 
i) investors of the other Party;13 ii) covered investments;14 and, iii) all investments in the Party 
with regard to disciplines on performance requirements (Article 9.9). The Chapter does not bind 
either Party in relation to any act or fact that took place or ceased to exist before the Agreement's 
entry into force. The investment Chapter does not apply to services supplied in the exercise of governmental authority.  
4.5.  In the event of an inconsistency between the investment Chapter and another Chapter of the 
Agreement, the latter prevails to the extent of the inconsistency. 
4.6.  The investment Chapter does not apply to measures adopted or maintained by a Party in 
respect of investors of the other Party, and investments of such investors in financial institutions in 
the former Party (Article 9.3).
15 The Parties reaffirm their commitments under the GATS with 
respect to financial services, which are in corporated into the investment Chapter. 
4.7.  The Chapter on investment does not apply to measures adopted or maintained by a Party 
relating to: (a) activities or services forming part of a public retirement plan or statutory system of 
social security; (b) activities or services conducted for the account or with the guarantee or using the financial resources of the Party, including its public entities; or (c) activities conducted by a 
central bank or monetary authority or by any other public entity in pursuit of monetary or 
exchange rate policies; except that the provisions (outlined in footnote 11 shall apply if a Party allows any of the activities or services referred to in (a) or (b) to be conducted by its financial institutions in competition with a public entity or a financial institution). 
4.8.  The Parties' lists of non-conforming measures are set out in Annexes 8B:I and 8B:II. The key 
obligations of national treatment, performance requirements and senior management and boards of directors do not apply to any measure that a Party adopts or maintains with respect to sectors, 
sub-sectors, or activities as set out in those A nnexes. National treatment does not apply to any 
measure that is an exception to, or a derogation from, a Party's obligations under the TRIPS Agreement. The obligations of national treatment,  senior management and boards of directors do 
not apply to government procurement or subsidies or grants provided by a Party
16, including 
government-supported loans, guarantees, and insurance. 
4.9.  Nothing in Chapter 9 shall be construed to prevent either Party from adopting or enforcing 
measures necessary to secure compliance with laws or regulations that are not inconsistent with 
the investment Chapter, including those relating to the prevention of deceptive and fraudulent 
practices (Article 9.3).  
4.3  Denial of benefits 
                                               
13 "Investor of a Party" is defined in Arti cle 9.1 and includes permanent residents. 
14 According to Article 9.1, an "investment" means ever y kind of asset, owned or controlled, directly or 
indirectly, by an investor, that has the characteristics of an investment. Forms that an investment may take include but are not limited to: an enterprise; shares, stock, and other forms of equity participation in an enterprise, including rights derived therefrom; bonds,  debentures, and loans and other debt instruments, 
including rights derived therefrom;  futures, options, an d other derivatives; turnkey, construction, 
management, production, concession, revenue-sharing, and other similar contracts; claims to money or to any 
contractual performance related to a business and having an economic value; intellectual property rights and goodwill; licences, authorisations, permits, and similar rights conferred pursuant to applicable local laws, 
including any concession to search for, cultivate, extract or exploit natural resources; and other tangible or intangible, movable or immovable proper ty, and related property rights, such  as leases, mortgages, liens, and 
pledges. 
15 Except for the following provisions: Article 9.6 (Special Formalities and Information Requirements); 
Article 9.7 (Minimum Standard of Treatment); Ar ticle 9.8 (Compensation for Losses); Article 9.12 
(Expropriation); Article 9.13 (Transfers); Article 16.5 (Restrictions to Safeguard the Balance of Payments); Article 9.14 (Denial of Benefits); Article 9.16 (Settlement of Disputes between a Part y and an Investor of the 
Other Party); Article 9.17 (Savings Clause); and Annex 9. 
16 In the event of losses due to war, armed conflict or  other similar situations in the other Party, that 
Party shall be accorded treatment rega rding restitution, compensation or other settlement no less favourable 
than that accorded to investors of any non-Party or it s own investors, whichever is  more favourable (Article 
9.8).  Such provision does not apply to  existing measures relating to subsid ies and grants provided by a Party, 
including government-su pported loans, guarantees and insurance. WT/REG350/1 
 
- 19 - 
 
  4.10.  Subject to prior notification and consultati on, a Party may deny the benefits of the Chapter 
on CBTS to a service supplier of the other Party if  the service is being supplied by an enterprise 
that has no substantive business operations in the other Party and that is owned or controlled by persons of a non-Party or the denying Party (Article 8.10). 
4.11.  Subject to prior notification and consultati on, a Party may deny the benefits of the Chapter 
on investment to an investor of the other Party that is an enterprise of such Party and to investments of such an investor where the Party establishes that the enterprise is owned or 
controlled by persons of a non-Party, or of the denying Party, and has no substantive business 
operations in the other Party (Article 9.14). 
4.4  General provisions on trade in services 4.4.1  Market access 
4.12.  The Parties grant each other market access in accordance with Article 8.4. The types of 
limitations the Parties may not adopt or maintain mirror those in Article XVI of GATS, with the exception of the limitation on capital participation by investors of the other Party.  
4.4.2  National treatment and MFN 
4.13.  Each Party shall accord to service suppliers of the other Party treatment no less favourable 
than that it accords, in like circumstances, to its own service suppliers (Article 8.3).  
4.14.  There are no provisions on MFN treatment of service suppliers and investment in the 
Agreement. 
4.15.  Each Party shall accord to investors of the other Party and to covered investments 
treatment no less favourable than that it accords, in like circumstances, to its own investors and to 
investments of its own investors with respect to the establishment, acquisition, expansion, 
management, conduct, operation, and sale or ot her disposition of investments (Article 9.5). 
4.4.3  Local presence 
4.16.  According to Article 8.5, neither Party ma y require a service supplier of the other Party to 
establish or maintain a representative office or any form of enterprise, or to be resident as a condition for the cross-border supply of a service. 
4.4.4  Performance Requirements 
4.17.  In connection with the establishment, acquisition, expansion, management, conduct, 
operation, or sale or other disposition of an investment of an investor of a Party or of a non-Party, the Parties may not impose or enforce performance requirements  (Article 9.9) , inter alia , on 
export performance; local content requirements; purchase, or use of locally produced goods; 
foreign exchange inflows requirements; restrictions on sales of goods or services based on the volume or value of their export or foreign exchange earnings; technology transfer;
17 or exclusive 
supply. 
4.18.  Neither Party may condition the receipt or continued receipt of an advantage in connection 
with the establishment, acquisition, expansion, ma nagement, conduct, operation, or sale or other 
disposition of an investment of an investor of a Party or of a non-Party, on local content, purchase, 
                                               
17 Does not apply when a Party authorizes use of an  IPR in accordance with Article 31 of the TRIPS 
Agreement, nor to measures requiring th e disclosure of proprietary informatio n that fall within the scope of and 
are consistent with Article 39 of the TRIPS Agreement, nor when the requirement is imposed or enforced by a 
court, administrative tribunal or competition authority to remedy a practice determined to be anticompetitive under the Party's competition laws. WT/REG350/1 
 
- 20 - 
 
  or use of locally produced goods, foreign exch ange inflows, or foreign exchange earnings 
(Article 9.9).18  
4.4.5  Senior Management and Boards of Directors 4.19.  Neither Party may require that an enterprise of that Party that is a covered investment 
appoint to senior management positions natural persons of any particular "nationality/citizenship". 
A Party may require that a majority of the boar d of directors, or any committee thereof, of 
an enterprise of that Party that is a covered invest ment, be of a particular "nationality/citizenship", 
or resident in the Party, provided that the requirement does not materially impair the ability of the 
investor of the other Party to exercise control over its investment (Article 9.10).  
4.5  Other investment-related provisions 4.20.  Neither Party shall expropriate or subject to measures equivalent to expropriation a covered 
investment unless taken on a non-discriminatory basis, for public purpose in accordance with due 
process of law, and upon payment of compensation (Article 9.12). Compensation shall be equivalent to fair market value. Any measure of expropriation relating to land shall be for a 
purpose and upon payment of compensation in accordance with applicable legislation of the 
expropriating Party. Article 9.12 does not apply to  the issuance of compulsory licences granted in 
relation to IPRs in accordance with the TRIPS Agreement, or to the revocation, limitation or 
creation of IPRs.  
4.21.  Annex 9 provides elaboration on indirect expropriation and clarifies, inter alia, that except in 
rare circumstances non-discriminatory measures taken in the exercise of a Party's regulatory powers such as public health, safety and the enviro nment, do not constitute indirect expropriation. 
4.22.  The Parties shall permit all transfers relating to a covered investment to be made freely and 
without delay in a freely usable currency at the market rate of exchange at the time of transfer (Article 9.3). Article 9.15 deals with subrogation.  
4.23.  Article 9.16 provides for an investor-Party  dispute settlement mechanism. Awards rendered 
by the arbitral tribunal are final and binding upon the Parties. In the event that there has been a 
breach of any obligation of the Chapter on investment, the remedy is limited to one or both of the 
following: payment of monetary damages and applicable interest; and restitution of property, in 
which case the award shall provide that the disputing Party may pay monetary damages and any applicable interest in lieu of restitution.  
4.5.1  Movement of natural persons 
4.24.  Chapter 8 (CBTS) does not impose any obligation on a Party with respect to a natural 
person of the other Party seeking access to its employment market, or employed on a permanent 
basis, and does not confer any right on that natural person with respect to that access or 
employment nor does it apply to measures rega rding "citizenship" or residence on a permanent 
basis.  
4.25.  There is no separate Chapter or commitments on the movement of natural persons. Both 
Parties reserve the right to adopt or maintain measures with respect to the temporary movement 
of natural persons. 
4.6  Liberalization commitments 4.26.   Both Chapter 8 on CBTS and Chapter 9 on Investment follow a negative-list approach 
which implies that, with respect to the core disciplines of market access, national treatment, local 
presence, senior management and boards of direct ors and performance requirements all sectors or 
sub-sectors are assumed to be open to competitio n from services suppliers or investors of the 
other Party, unless otherwise specified in Annex 8B:I or 8B:II. 
                                               
18 Exceptions to certain provisions of Article 9. 9 are made in the case of export promotion and 
international aid programmes, government procurem ent and requirements relating to local content 
requirements necessary to qualify for preferential tariff treatment or preferential quotas. WT/REG350/1 
 
- 21 - 
 
  4.27.  As a consequence, the obligations of national treatment, market access and liberalization of 
local presence requirements apply fully to CBTS between the Parties in all sectors, unless reservations are listed in Annexes 8B:I or 8B:II. Annex 8B:I represents a standstill commitment as a Party may maintain, review, or even amend the measures listed there, but not make them more 
restrictive. By contrast, Annex 8B:II contains the specific sectors where the Parties may adopt or 
maintain new or even more restrictive measures. 
4.28.  Similarly, national treatment as well as  liberalization of performance requirements, and 
senior management and board of director requirem ents apply fully to investment-related matters 
in all sectors, except for the reservations contained in Annex 8B:I and 8B:II. 
4.6.2  Singapore 4.29.  Under Annex 8B:I, Singapore has listed 28 rese rvations for existing measures, of which four 
are horizontal. It also listed 40 Annex 8B:II reservations, eight of which are horizontal. 
4.30.  The following sections refer to its horizontal and sector-specific commitments and 
liberalization. 
4.6.2.1  Horizontal commitments 
4.31.  In its GATS schedule, Singapore has horizontal limitations on the temporary movement of 
persons and national treatment limitations on the establishment of business firms. Under the 
Agreement, Singapore employs similar national tr eatment restrictions and residency requirements 
on the establishment of companies. Singapore addi tionally imposes foreign equity ceilings (at the 
aggregate and/or individual shareholder level) on certain Singapore companies.
19  
4.32.  Under future Annex 8B:II reservations, Singapore has scheduled eight horizontal 
reservations reserving the right to adopt or maintain measures with regard to the following: the 
supply of a service by the presence of natural pe rsons; the divestment of the administrator and 
operator of airports; the supply of health services  by government-owned or controlled healthcare 
institutions; the supply of social services, social security, public training, and ambulance services; 
activities which may be conducted on land; alienation and divestment of real estate owned by the State; divestment of government owned assets or devolvement of services provided in the 
exercise of governmental authority; and real estate. 
4.6.2.2  Sector-specific commitments 4.33.  Table 4.1 compares the degree of libera lization (modes 1-3 only) by sector in the 
Agreement with that in Singapore's GATS Schedule. In particular, it indicates whether for a given 
subsector the sectoral commitments in the Agreement (except as indicated in the horizontal 
reservations) are improved or the same as those in the GATS. 
Table 4.1 Singapore: comparison between GATS and the Agreem ent sector-specific 
commitments in trade in services (excluding mode 4)  
Sectors (CPC Classification) GATS FTA 
Sectoral 
Commitments  Compared to 
the GATS 
 Sector-specific 
reservations 
(or provisions) 
specified in 
1. Business services  partial improved Annex 8B:I and 8B:II  
A. Professional Services  partial improved  
B. Computer and Related Services  partial improved  
C. Research and Development Services  partial improved  
D. Real Estate Services  -- partial  
E. Rental/Leasing Services without Operators  -- partial  
F. Other Business Services  partial improved  
2. Communication services  partial improved Annex 8B:I and 8B:II  
A. Postal services  -- similar  
B. Courier services  partial full  
                                               
19 Port of Singapore Authorities, Singapore Technolo gies Engineering, Singapore Airlines and Singapore 
Power, Power Grid, Power Supply, Power Gas. WT/REG350/1 
 
- 22 - 
 
  Sectors (CPC Classification) GATS FTA 
Sectoral 
Commitments  Compared to 
the GATS 
 Sector-specific 
reservations 
(or provisions) 
specified in 
C. Telecommunication services  partial improved  
D. Audiovisual services partial same  
E. Other  partial improved  
3. Construction & related engineering services  partial Full  
A. General construction work for buildings  partial Full  
B. General construction work for civil engineering  partial Full  
C. Installation and assembly work  Partial Full  
D. Building completion and finishing work  Partial Full  
E. Other  partial Full  
4. Distribution services  -- improved Annex 8B:I and 8B:II  
A. Commission agents' services  -- improved  
B. Wholesale trade services  -- improved  
C. Retailing services  -- improved  
D. Franchising  -- improved  
E. Other -- improved  
5. Educational services  -- improved Annex 8B:I and 8B:II  
A. Primary education services  -- same  
B. Secondary education services  -- same  
C. Higher education services  -- same  
D. Adult education  -- improved  
E. Other education services  -- improved  
6. Environmental services  -- improved Annex 8B:II 
A. Sewage services  -- partial  
B. Refuse disposal services  -- improved  
C. Sanitation and similar services  -- improved  
D. Other -- improved  
7. Financial services partial same  
A. All insurance and insurance-related services  partial same  
B. Banking and other financial services partial same  
C. Securities and futures partial same  
8. Health related and social services -- same Annex 8B:I and 8B:II  
A. Hospital services -- same  
B. Other Human Health Services  -- same  
C. Social Services  -- same  
D. Other -- same  
9. Tourism and travel related services  partial improved Annex 8B:I 
A. Hotels and restaurants (including catering)  partial partial  
B. Travel agencies and tour operators services  partial improved  
C. Tourist guides services  partial improved  
D. Other -- improved  
10. Recreational, cultural and sporting  services partial improved Annex 8B:II 
A. Entertainment services  -- same  
B. News agency services  -- same  
C. Libraries, archives, museums and other cultural services  partial same  
D. Sporting and other recreati onal services  -- improved  
E. Other  -- improved  
11. Transport services  partial Improved Annex 8B:I and 8B:II  
A. Maritime Transport Services  partial improved  
B. Internal Waterways Transport -- same  
C. Air Transport Services  -- same  
D. Space Transport  -- same  
E. Rail Transport Services  -- same  
F. Road Transport Services -- same  
G. Pipeline Transport  -- improved  
H. Services auxiliary to all modes of transport  -- improved  
I. Other Transport Services  -- improved  
Note: 'Improved' means commitments that go beyond the GATS as regards market access or national 
treatment, under any of the three modes. 'Similar'  means commitments that do not go beyond the 
GATS. 'Partial' means commitments that, under th e GATS, are subject to some sector-specific 
limitation(s) under market access or national treatment, under any of the three modes. 
 --:  no commitments.  Source:  Schedule of Specific Commitments under the GATS (GATS/SC/136/Rev.1) and relevant section of 
Annex 8B:I and 8B:II of the Agreement. 
4.34.  Singapore's commitments under the Agreemen t on professional services are broader than 
those in its GATS schedule. Singapore has not ma de commitments in legal services in its GATS WT/REG350/1 
 
- 23 - 
 
  schedule; an Annex 8B:II reservation under the Agreement to maintain or adopt any measure 
affecting the supply of legal services in the practice of Singapore law limits potential liberalization of this subsector. Singapore has scheduled no re servations on computer and related services and 
research and development services under the Ag reement, thus liberalizing these subsectors 
compared to its GATS commitment. Real estate services and rental/leasing services without 
operators have been partially liberalized under the Agreement. 
4.35.  Singapore has not bound postal services in its GATS schedule. Its reservation to adopt or 
maintain any future measure affecting basic and express letter services limits liberalization of this 
subsector. In its GATS schedule, Singapore has ma de commitments for courier services in respect 
of documents and parcels (excluding letters and postcards). Singapore has no reservations on courier services under the Agreement,  thus liberalizing this subsector. In telecommunications 
services under the Agreement, facilities-based and service-based operators must be locally 
incorporated (in its GATS schedule facilities-based and mobile services are subject to equity ceilings). Singapore reserves the right to adopt or  maintain any measure that accords treatment to 
persons of Chinese Taipei equivalent to any measure adopted or maintained by Chinese Taipei 
limiting ownership by persons of Singapore enterp rises engaged in the provision of public mobile 
and wireless communications in Chinese Taipei. In audiovisual services, Singapore reserves the 
right to maintain or adopt any measure affecting broadcasting services receivable by its 
Singaporean audience and to the allocation of spectrum in relation to broadcasting services, including services offered in Singapore and international services originating from Singapore, thus resulting in the same liberalization as under GATS.  
4.36.  Singapore has bound construction services but not related engineering services under the 
GATS. Under the Agreement, Singapore has li sted no reservations in this sector. 
4.37.  In distribution services for which it has no GATS commitments, Singapore has scheduled 
under the Agreement restrictions on distribution services for medical and health-related products, 
and reserves the right to maintain or adopt any measure affecting the distribution, publishing and printing of newspapers; the supply of any products  subject to import or export prohibition or 
non-automatic import or export licensing; and the supply of wholesale and retail trade services of 
tobacco products and alcoholic beverages. 
4.38.  Singapore has made no commitments in education services in its GATS schedule. Under the 
Agreement, Singapore reserves the training of doct ors to local tertiary institutions and reserves 
the right to maintain or adopt any measure affect ing the supply of primary, general secondary and 
higher secondary education services for Singapor e citizens, including sports education services. 
4.39.  In environmental services, a sector in which it has no GATS commitments, Singapore 
reserves the right under the Agreement to adopt or maintain any measure affecting waste water 
management; waste management including hazardous waste; and the supply of potable water.  
4.40.  Singapore has made no commitments in health related and social services in its GATS 
schedule. Under the Agreement, Singapore imposes a residency requirement for service delivery of 
the following services: medical; dental; pharmacy; deliveries and related services; nursing; physiotherapeutic and para-medical services; allied  health services; and optometry and opticianry 
services. Singapore also reserves the right to maintain or adopt any limit on the number of service 
suppliers and any measure with respect to the regu lation of service suppliers providing (but not 
limited to) the afore-mentioned list of services.  
4.41.  In tourism and travel related services, Singapore has few restrictions in its GATS schedule. 
Under the Agreement, food and/or beverage serv ing services in eating facilities run by the 
government are limited to citizens or permanent residents and non-local service suppliers of food and/or beverage services must incorporate as a limited company in Singapore.  
4.42.  In recreational, cultural and sporting services, a sector in which it has commitments on 
library services under the GATS, Singapore reserves the right under the Agreement to maintain or adopt any measure relating to the creative arts, cultural heritage and other cultural industries, including entertainment services and other cultural services; and affecting the supply of betting 
and gambling services. WT/REG350/1 
 
- 24 - 
 
  4.43.  In transport services, Singapore's commitmen ts in its GATS schedule pertain to maritime 
transport services only. Under the Agreement, fo r maritime transport services Singapore places 
limitations on the provision of cargo handling services, pilotage services, and the supply of desalinated water; the operation and management of cruise and ferry terminals; registration of 
ships under the Singapore flag; and the registrati on of Singapore seamen. In addition, Singapore 
reserves the right to maintain or adopt any measure affecting certain port and waterway operation services, pilotage and berthing services, navigation aid services and other supporting services for 
water transport. Singapore reserves the right to adopt or maintain any measure affecting the 
supply of internal waterways transport. In air transport services, Singapore imposes "effective 
control" and/or "substantial ownership" requirements on services suppliers providing air transport services (for both passenger and freight) as a Si ngapore designated airline and reserves the right 
to maintain or adopt any measure affecting investment in, and/or the supply of air transport-
related services; relating to requirements of its bilateral and multilateral air services agreements; and affecting aerial work. Singapore reserves the right to maintain or adopt any measure affecting 
the supply of passenger transport services and rail way and road transportation. The transportation 
of certain goods via pipeline is subject to a local presence requirement. 
4.6.3  Chinese Taipei 
4.44.  Under Annex 8B:I, Chinese Taipei has listed 32 reservations for existing measures, of which 
two are horizontal. It also listed seven Annex 8B :II reservations, five of which are horizontal. 
4.45.  The following sections refer to its horizontal and sector-specific commitments and 
liberalization. 
4.6.3.1  Horizontal commitments 
4.46.  As in its GATS schedule, Chinese Taipei maintains a mode 3 national treatment reservation 
on the leasing or ownership of land for certain uses and in certain areas. Under the Agreement, 
the acquisition of land by non-persons of Chinese Taipei is based on reciprocity. Such land may be 
acquired for self-use, investment or public welfare purposes provided that it is used for certain purposes.
20 Chinese Taipei reserves the right to maintain any existing measure with respect to 
investment and CBTS by a service supplier which is a permanent resident of Singapore or an 
enterprise of Singapore owned or controlled by persons of a non-Party, that is made pursuant to Chinese Taipei's relevant laws and regulations, provided that such treatment is no less favourable that that accorded in like circumstances, to in vestments and CBTS by service suppliers of any 
other non-Party. 
4.47.  Under future Annex 8B:II reservations, Chin ese Taipei has scheduled seven reservations of 
which five are horizontal and which permit Chinese Taipei to adopt or maintain measures with 
regard to the following: provision of law enforcement and correctional services and certain services 
to the extent they are social services established or maintained for a public purpose;
21 rights or 
preferences granted to its indigenous peoples; ri ghts or preferences granted to minorities with 
social or economic disadvantages; the production, use, distribution and retail of nuclear energy; 
and any measure with respect to the supply of a se rvice by the presence of natural persons, or 
other movement of natural persons, including immigration, entry or temporary stay. 
4.6.3.2  Sector-specific commitments 
4.48.  Table 4.2 compares the degree of libera lization (modes 1-3 only) by sector in the 
Agreement with that in Chinese Taipei's GATS Schedule. In particular, it indicates whether for a given subsector the sectoral commitments in the Agreement (except as indicated in the horizontal 
reservations) are improved or the same as those in the GATS.
22 
                                               
20 These include residences, business op erations, churches, hospitals, publ ic welfare institutions offices, 
cemeteries, or other uses ap proved by Chinese Taipei. 
21 I n c o m e  s e c u r i t y  o r  i n s u r a n c e ,  s o c i a l  s e c u r i t y  o r  i n s u r a n c e ,  s o c i a l  w e l f a r e ,  p u b l i c  e d u c a t i o n ,  p u b l i c  
training, health, child care, public sewage services. 
22 This Factual Presentation follows the WTO Services Sector Classification list, which is based on the UN 
Central Product Classification (CPC) and consists of 12 subsectors (WTO document MTN.GNS/W/120). WT/REG350/1 
 
- 25 - 
 
  Table 4.2 Chinese Taipei: comparison between GATS and the Agreement sector-specific 
commitments in trade in services (excluding mode 4) 
Sectors (CPC Classification) GATS FTA 
Sectoral 
Commitments  Compared to 
the GATS  
 Sector-specific 
reservations 
(or provisions) 
specified in 
1. Business services  partial improved  Annex 8B:I  
A. Professional Services  partial improved  
B. Computer and Related Services  full same  
C. Research and Development Services  full same  
D. Real Estate Services  partial improved  
E. Rental/Leasing Services without Operators  partial improved  
F. Other Business Services  partial similar  
2. Communication services  partial improved Annex 8B:I and 8B:II  
A. Postal services  -- improved  
B. Courier services  partial improved  
C. Telecommunication services  partial Improved  
D. Audiovisual services partial Improved  
E. Other  -- Improved  
3. Construction & related engineering services  partial full - 
A. General construction work for buildings  partial full  
B. General construction work for civil engineering  partial full  
C. Installation and assembly work  partial full  
D. Building completion and finishing work  partial full  
E. Other  partial full  
4. Distribution services  partial full - 
A. Commission agents' services  full full  
B. Wholesale trade services  partial full  
C. Retailing services  partial full  
D. Franchising  full full  
E. Other -- full  
5. Educational services  partial improved Annex 8B:I 
A. Primary education services  -- partial  
B. Secondary education services  partial partial  
C. Higher education services  partial improved  
D. Adult education  partial improved  
E. Other education services  partial improved  
6. Environmental services  partial improved Annex 8B:I and 8B:II  
A. Sewage services  partial improved  
B. Refuse disposal services  partial improved  
C. Sanitation and similar services  partial improved  
D. Other partial improved  
7. Financial services partial same - 
A. All insurance and insurance-related services  partial same  
B. Banking and other financial services partial same  
C. Securities and futures partial same  
8. Health related and social services  partial improved Annex 8B:I and 8B:II  
A. Hospital services partial improved  
B. Other Human Health Services  -- improved  
C. Social Services  -- --  
D. Other partial improved  
9. Tourism and travel related services  partial full - 
A. Hotels and restaurants (including catering)  partial full  
B. Travel agencies and tour operators services  full full  
C. Tourist guides services  partial full  
D. Other -- full  
10. Recreational, cultural and sporting serv ices partial improved Annex 8B:I and 8B:II  
A. Entertainment services  -- partial  
B. News agency services  full same  
C. Libraries, archives, museums and other cultural services  -- partial  
D. Sporting and other recreational services  partial improved  
E. Other  -- partial  
11. Transport services  pa rtial improved Annex 8B:I  
A. Maritime Transport Services  -- partial  
B. Internal Waterways Transport -- partial  
C. Air Transport Services  partial similar  
D. Space Transport  -- full  
E. Rail Transport Services  partial similar  
F. Road Transport Services partial similar  
G. Pipeline Transport  -- full  
H. Services auxiliary to all modes of transport  partial full  
I. Other Transport Services  -- full  WT/REG350/1 
 
- 26 - 
 
  Note: 'Improved' means commitments that go beyond the GATS as regards market access or national 
treatment, under any of the three modes. 'Similar'  means commitments that do not go beyond the 
GATS. 'Partial' means commitments that, under th e GATS, are subject to some sector-specific 
limitation(s) under market access or national treatment, under any of the three modes. 
 --:  no commitments.  Source:  Schedule of Specific Commitments under the GATS (GATS/SC/136/Rev.1) and relevant section of 
Annex 8B: I and 8B:II of the Agreement. 
4.49.  In business services, Chinese Taipei's commitments are broader compared to its GATS 
schedule, although some reservations remain and new ones are introduced such as local presence 
requirements for professional services and real estate services subsectors, which are not 
scheduled under the GATS. Chinese Taipei's reservations in legal services; accounting, auditing 
and book keeping services; and taxation services  mirror the partial commitments scheduled under 
the GATS, thus opening up other forms of these services. New reservations, not contained in its 
GATS schedule have been added on mining, agricu lture, animal husbandry, forestry, and logging.23 
Other subsectors such as medical and dental serv ices and services provided by midwives, nurses, 
physiotherapists and para-medical personnel that do not appear in its GATS Schedule are not 
subject to restriction under the Agreement.  
4.50.  In communication services, Chinese Taipei made no commitment in postal services in its 
GATS schedule and reserves the business of delivering letters, postcards or other correspondence 
to a publicly owned company under the Agreement. Concerning telecommunication services, 
Chinese Taipei has increased the limit for total direct shareholding by non-persons of 
Chinese Taipei to 49% (from 20% under the GATS) and specified shareholding limits in the publicly owned company Chunghwa Telecom. Investment ceilings on non-Chinese Taipei mobile 
satellite service operators in the GATS have been relaxed under the Agreement which permits such 
operators to provide service by entering into c ooperative agreements with local companies. Under 
the Agreement, the registration of "country code  top level domains" is limited to authorized 
juridical persons. In its GATS Schedule Chines e Taipei has made no commitments on radio and 
television transmission services, while radio and television services are subject to local content requirements. Under the Agreement, Chinese Taipei has scheduled a future measure for radio and television broadcast services reserving the right to adopt or maintain any measure relating to 
broadcasting services to international broadcasting services originating from Chinese Taipei, and to 
the allocation of spectrum in relation to broadcasting services.  
4.51.  Chinese Taipei improves its commitments in  construction and related engineering services. 
The Agreement covers mode 1 while in its GATS schedule it is unbound (due to technical 
feasibility). In distribution services, Chinese Taipei has not made commitments in its GATS Schedule for wholesale and retailing services for firearms and military equipment; under the 
Agreement no reservations are scheduled, thus liberalizing the subsector. In education services, 
primary and secondary schools established by non-persons of Chinese Taipei are subject to enrolment restrictions.
24 In adult and other education the restrictions on board composition in 
Chinese Taipei's GATS Schedule have been relaxed under the Agreement, though the latter 
restricts non-persons of Chinese Taipei from serving as a local manager for institutions providing 
adult and/or other education services in Chinese Taipei. 
4.52.  Chinese Taipei has scheduled two reservations relating to water, limiting investment in 
water rights and permitting water supply enterprises (in principle operated by public entities) to be 
operated by juridical persons of Chinese Taipei upon approval. Under future measures, Chinese Taipei may adopt or maintain any measure with respect to the provision of public sewage 
services. 
4.53.  For financial services, the Parties have incorporated into the Agreement their obligations 
under the GATS, the GATS Annex on Financial Serv ices and the GATS Second Annex on Financial 
Services. 
                                               
23 CBTS and investment in fisheries and aquaculture are restricted. Investment is not allowed in 
forestry, wood logging and hunting and is conditionall y restricted in agricultur e and animal husbandry. 
24 Chinese Taipei has no commitments in primary education services in its GATS schedule. WT/REG350/1 
 
- 27 - 
 
  4.54.  In health related and social services, Chinese Taipei maintains investment and board 
composition reservations related to medical services and hospital services. It reserves the right to adopt or maintain any measure related to social services for a public purpose.  
4.55.  Chinese Taipei has taken no reservations in tourism and travel related services thus 
liberalizing this sector. In recreational, cultural and sporting services, Chinese Taipei expands its 
commitments to entertainment, libraries, archives , museums and other cultural services, for which 
it has no GATS commitments, subject to certain reservations. For games of luck and chance it sets 
out a future measure with regard to CBTS and investment. 
4.56.  Unlike in the GATS, Chinese Taipei extends its commitments to maritime, internal 
waterways, space and pipeline transport services: ma ritime services is subject to thresholds for 
investment and board composition; and the operation of internal waterways transport and 
cabotage is not permitted unless approved by the competent authorities. Chinese Taipei also adds 
new restrictions, not included in its GATS schedule, prohibiting investment in rail services. In air transport services for which Chinese Taipei has liberalized modes 1-3 of maintenance and repair of 
aircraft, selling and marketing of air transport services and computer reservation systems in its 
GATS schedule,
25 Chinese Taipei permits investment in civil air transport and general aviation 
enterprise, airport ground handling services, cateri ng services, private airport terminal company, 
and airfield operation and management, subject however to a number of restrictions including 
investment thresholds and board composition.  
4.7  Regulatory provisions  4.7.1  Domestic regulation 
4.57.  Article 8.7 mirrors GATS Article VI. If the results of negotiations related to Article VI:4 of 
the GATS enter into effect, the Parties shall amend Article 8.7, as appropriate, after consultations between them. The Parties agree to coordinate on such negotiations, as appropriate. 
4.7.2  Recognition 
4.58.  Article 8.8 mirrors GATS Article VII but extends recognition to countries or customs 
territories. Where a Party grants recognition it is not obliged to accord such recognition to the 
other Party, but shall afford adequate opportunity to negotiate accession to a recognition 
agreement or to negotiate a comparable one, if the other Party is interested. 
4.7.3  Subsidies 4.59.  The Agreement contains no provisions on subsidies relating to services. Subsidies relating to 
investment are carved out from the obligations of Article 9.5 (National Treatment) and 9.10 
(Senior Management and Boards of Directors).  
4.7.4  Safeguards 
4.60.  Provisions relating to balance of payments restrictions are covered in Section 5 of this 
report. The Agreement contains no other provisions on safeguards relating to services or investment.  
4.8  Sector specific provisions on trade in services 
4.8.1   Telecommunications Services 4.61.  Annex 8A of the Agreement applies to measures affecting telecommunications services 
where specific commitments have been undertaken. Annex 8A follows the structure of the WTO 
Telecommunications Reference Paper with some modifications. For instance, for competitive 
safeguards, in addition to the anti-competitive pr actices listed in the Reference Paper, the Annex 
lists engaging in anti-competitive pricing services and unfair discrimination in the provision of 
telecommunications services. With regard to in terconnection with major suppliers, the Annex 
                                               
25 Mode 1 of maintenance and repair of aircraft is  unbound (due to lack of technical feasibility). WT/REG350/1 
 
- 28 - 
 
  requires Parties to ensure that a major supplier is required to allow other suppliers who 
interconnect with the major supplier: to locate their equipment essential for interconnection within the major supplier's buildings; or to install their cables and lines essential for interconnection within the facilities specified by the laws, regulations, or administrative adjudication of each Party; 
where physically feasible and where no practical or viable alternatives exist, in order to 
interconnect smoothly with the essential facilities of the major supplier. In addition, the Parties shall ensure that major suppliers are required to provide, to the relevant regulatory authorities, a 
reference interconnection offer for approval, or an interconnection agreement already in effect. 
The reference interconnection offer or model agreement must contain a minimum of elements including a list and description of interconnection-related services offered with terms and conditions; a list of cost-oriented prices; standard periods between the dates of request and 
commencement; and a statement regarding the duration of the proposed interconnection 
agreement, if it is fixed. 
5  GENERAL PROVISIONS OF THE AGREEMENT 
5.1  Transparency 
5.1.  The Parties shall promptly publish in a non-discriminatory and convenient manner, 
information relating to: import, export or transi t procedures and required forms and documents; 
applied duty rates, taxes or changes of any kind  imposed on imports or exports; rules for the 
classification or valuation of products for customs purposes; laws, regulations and administrative rulings of general application relating to rules of origin; import, export or transit restrictions or prohibitions; relevant trade legislation; all fees and charges imposed on imports, exports or transit 
formalities; penalty provisions against breaches of import, export or transit formalities; appeal 
procedures; agreements or parts thereof with any non-Parties relating to the import, export or transit of goods; and administrative procedures relating to the imposition of tariff quotas 
(Article 3.10). 
5.2.  In Chapter 14 on transparency the Parties agree to ensure that their laws, regulations, 
procedures and administrative rulings of general application relating to any matter covered by the 
Agreement are promptly published or otherwise made  available. They agree to notify each other, 
to the maximum extent possible, of any measure that may materially affect the operation of the Agreement or otherwise substantially affect the other Party's interests. Article 14.4 deals with administrative proceedings. The Parties shall ensu re that wherever possible, persons of the other 
Party that are directly affected by a proceeding are provided with reasonable notice, in accordance 
with their own procedures, when a proceeding is in itiated and afforded a reasonable opportunity to 
present facts and arguments in support of their positions prior to any final administrative action 
and that their procedures are in accordance with their laws. 
5.3.  The Parties shall establish or maintain judicial, quasi-judicial or administrative tribunals or 
procedures for the purpose of the prompt review, and where warranted, correction of final 
administrative actions regarding matters covered by the Agreement (Article 14.5). 
5.2  Current payments and capital movements 5.4.  The Parties permit all transfers and payments  relating to CBTS to be made freely, without 
delay and in a freely usable currency at the market rate of exchange.
26 A Party may, however, 
prevent or delay a transfer or payment through the equitable, non-discriminatory and good faith 
application of its laws relating to: bankruptcy, insolvency or the protection of the rights of creditors; issuing, trading or dealing in securities, futures, options, or derivatives; financial 
reporting or record keeping of transfers when necessary to assist law enforcement or financial 
regulatory authorities; criminal or penal offences; ensuring compliance with orders or judgments in 
judicial or administrative proceedings; or social security, public retirement or compulsory savings 
schemes (Article 8.9).  
5.5.  The Parties permit all transfers relating to a covered investment to be made freely and 
without delay, including contributions to capital; profits, dividends, capital gains, and proceeds 
from the sale of all or any part of the investment or its liquidation; interest, royalty payments, 
                                               
26 Subject to measures to safeguard the balance of payments as outlined in Article 16.5.  WT/REG350/1 
 
- 29 - 
 
  management fees, and technical assistance and other fees; payments made under a contract 
entered into by the investor, or its investment, including payments made pursuant to a loan agreement: payments made pursuant to Article 9.12 (Expropriation) and Article 9.8 (Compensation and Losses); and payments arising under 9.16 (Settlement of Disputes between a 
Party and an Investor of the other Party (Article 9.13). As for CBTS, a Party may prevent or delay 
a transfer or payment through the equitable, non- discriminatory and good faith application of its 
laws. 
5.6.  A Party may prevent or limit transfers by a financial institution or financial services supplier 
through the equitable, non-discriminatory, and good faith application of measures relating to maintenance of the safety, soundness, integrity, or financial responsibility of financial institutions or financial services suppliers (Article 9.3).  
5.3  Balance of Payments Safeguards 
5.7.  Article 16.5 provides for the use of certain measures in the case of balance of payments 
problems. Any such measure taken for trade in good s must be in accordance with Article XII of 
GATT 1994 and the Understanding on the Balance-of-Payments Provisions of the General 
Agreement on Tariffs and Trade 1994 , which are incorporated into the Agreement. In the event of 
serious balance of payments and external financial difficulties or threat thereof affecting trade in 
services or investment, a Party may adopt or maintain restrictions on payments or transfers 
related to investments or trade in services in respect of which it has obligations under national treatment or market access, including on payments or transfers for transactions relating to such obligations.  
5.8.  The Parties recognize that particular pressures on the balance of payments of a Party in the 
process of economic development may necessitate the use of restrictions to ensure, inter alia , the 
maintenance of a level of financial reserves adequate for the implementation of its programme of 
economic development. 
5.4  Exceptions 5.9.   Chapter 16 sets out general exceptions. For the purposes of Chapters 3 (Trade in Goods), 5 
(Customs Procedures), 6 (Sanitary and Phytosanit ary Measures), 7 (Technical Barriers to Trade), 
11 (Electronic Commerce) and 13 (Intellectual Property Cooperation) of the Agreement, Article XX of the GATT 1994 is incorporated into the Agreement, mutatis mutandis. Subparagraphs (a), (b) and (c) of Article XIV of GATS (including its footnotes) are incorporated into and made part of the 
Agreement, mutatis mutandis, for the purposes of Chapters 8 (Cross-Border Trade in Services), 9 
(Investment), 11 (Electronic Commerce) and 13 (Intellectual Property Cooperation). The Parties understand that the measures referred to in GATT Article XX(b) and GATS Article XIV(b) include 
environmental measures necessary to protect human, animal or plant life or health and that 
GATT Article XX(g) applies to measures relating to the conservation of living and non-living exhaustible natural resources.  
5.10.  In the case of security exceptions, nothin g in the Agreement shall require a Party to furnish 
or allow to have access to any information, the disclosure of which it considers contrary to its essential security interests; or preclude a Party from applying measures that it considers necessary for the fulfilment of its obligations with respect to the maintenance of international 
peace or security, or the protection of its own essential security interests
27 (Article 16.3). 
5.11.  Article 9.4 provides that a Party shall not be prevented from taking measures for prudential 
reasons, including for the protection of investors,  depositors, policy holders or persons to whom a 
fiduciary duty is owed by a financial institution or financial service supplier. 
5.12.  Nothing in the Agreement applies to taxation  measures except those laid out in Article 16.4. 
Article 9.12 (Expropriation) and 9.16 (Settlement of  Disputes between a Party and an Investor of 
the other Party) shall apply to taxation measures to the extent that such taxation measures 
                                               
27 Including for the protection of critical public infrastructure, including but not limited to 
communications, power, water, and transportation infrastructure, from deliberate attempts intended to disable or degrade such infrastructure. WT/REG350/1 
 
- 30 - 
 
  constitute expropriation as provided for therein. Further guidance to assess whether a taxation 
measure constitutes expropriation is provided in Article 16.4. 
5.5  Accession and Withdrawal 5.13.  This is no accession provision in the Agreement. Either Party may terminate the Agreement 
by written notification to the other Party. The termination will take effect six months after the date 
of notification (Article 17.6). 
5.6  Institutional framework 
5.14.  The Parties establish a Committee on Trade in Goods to consider any matter arising under 
the Chapters on Trade in Goods and Rules of Origin. The Committee's functions shall include monitoring the implementation of these Chapters  and their Annexes; promoting trade in goods 
between the Parties including through consultations and modifications to the rules of origin and 
other issues as appropriate; and such other activities as the Parties may agree (Article 3.16). 
5.15.  The Parties agree to meet within a year of  the Agreement's entry into force to review the 
implementation of the Agreement; thereafter, subj ect to mutual agreement, the Parties may meet 
biennially or otherwise (Article 17.1). The Partie s may review the implementation and application 
of the provisions of the Agreement including the work of any committees and working groups 
established under the Agreement; establish and delegate responsibilities to any ad hoc or standing 
committees, working groups or expert groups; and consider any other matter that may affect the 
operation of the Agreement. 
5.7  Dispute settlement 5.16.  Chapter 15 deals with dispute settlement in general, while Article 9.16 deals with investor-
Party disputes. Annex 15 contains model rules of procedure. 
5.17.  Article 15.2 sets out the scope and coverage and provides that the Chapter applies to the 
avoidance or settlement of disputes betwee n the Parties regarding the implementation, 
interpretation or application of the Agreement or wherever a Party considers that a measure of the 
other Party is inconsistent with the obligations of the Agreement; the other Party has otherwise failed to carry out its obligations; or a measure of the other Party causes nullification or 
impairment of any benefit accruing to it directly or indirectly under Chapters 3 (Trade in Goods), 4 
(Rules of Origin), 6 (SPS Measures), 7 (TBT), and 8 (CBTS). Findings, determinations and recommendations of an arbitral panel cannot add to or diminish the rights and obligations of the Parties under the Agreement. 
5.18.  Disputes arising under both the Agreement and the WTO Agreement may be settled in the 
forum selected by the complaining Party. Once dispute settlement proceedings have been initiated under Article 15.6 or under the WTO Agreement, the forum selected shall then be used to the 
exclusion of the other, unless substantially separate and distinct rights or obligations under 
different agreements are in dispute (Article 15.3).  
5.19.  Article 15.4 sets out the procedure for consultations with respect to a dispute under the 
Chapter. Upon receipt of a written request for consultations, the Responding Party shall reply 
within 10 days and enter into consultations within 20 days. Unless otherwise agreed, consultations are to be kept confidential.  
5.20.  The Parties may at any time agree to good offices, conciliation or mediation that may begin 
at any time and be terminated by either Party at any time (Article 15.5). Proceedings involving 
good offices, conciliation and mediation, and in particular positions taken by the Parties during these proceedings, shall be confidential. 
5.21.  A Party may request in writing the establishment of an arbitral panel if the matter has not 
been resolved within 60 days after the date of receipt of the request for consultations (Article 15.6). The arbitral panel shall consist of three members (Article 15.7). Each Party shall 
appoint a member of the arbitral panel within 30 days of the receipt of the request. If a Party fails 
to make such an appointment, it shall within 15 days of the expiry select a member from a roster, WT/REG350/1 
 
- 31 - 
 
  failing which a member shall be selected by lot drawn by the other Party. The Parties shall jointly 
appoint the third member who shall serve as the chair of the arbitral panel. Upon failure to agree upon the chair within 30 days, the chair shall be  selected by lot from the roster. Any person 
appointed a member of the arbitral panel shall have expertise or experience in law, international 
trade, other matters covered by the Agreement, or the resolution of disputes arising from 
international trade agreements. A roster is to be  established within one year of the Agreement's 
date of entry into force. 
5.22.  The Parties may agree to suspend or terminate the proceedings before an arbitral panel at 
any time by jointly notifying the chair to this effect (Article 15.9). Unless the Parties agree otherwise, the arbitral panel shall follow the model rules of procedure in Annex 15 which shall ensure inter alia: that an arbitral panel shall meet in closed session; a right to at least one hearing 
before the arbitral panel; an opportunity for each  Party to provide initial and rebuttal submissions; 
that each Party's written submissions, written versions of its oral statement, and written response to a request or question from the arbitral panel may be made public after they are submitted; a 
reasonable opportunity for each Party to submit comments on the initial report; and the protection 
of confidential information (Article 15.10). 
5.23.  Unless the Parties agree otherwise, the arbitral panel shall present its initial report within 
90 days after the last member is selected. The Parties may submit written comments on the initial 
report within 14 days or such other period as they agree. The final report shall be presented within 30 days of the presentation of the initial report, unless the Parties agree otherwise. The final report of the arbitral panel shall be made publicly  available within 15 days of its delivery, though 
opinions expressed by any member of the arbi tral panel shall be anonymous (Article 15.13). 
5.24.  The final report of an arbitral panel shall be binding on the Parties and not subject to appeal 
(Article 15.14). In the event that the Parties are unable to agree on the means to resolve the 
dispute within 30 days of the issuance of the final report or if the Parties have agreed on the 
means to resolve the dispute but the Party compla ined against fails to implement the aforesaid 
within 30 days following the expiration of the re asonable period of time, the Party complained 
against shall enter into negotiations with the complaining Party with a view to reaching a mutually 
satisfactory agreement on any necessary compensa tory adjustment. If no mutually satisfactory 
agreement on compensatory adjustment has been reached with 20 days or the complaining Party considers that the other Party has failed to observe the terms of an agreement on compensatory 
adjustment, the complaining Party may provide written notice that it intends to suspend the 
application of benefits of equivalent effect wh ich take effect 30 days thereafter. If the Party 
complained against considers that the level of benefits that the complaining Party has proposed to 
be suspended is manifestly excessive or it has eliminated the non-conformity, nullification or 
impairment that the arbitral panel has found, it may request the original arbitral panel to determine the matter. The original arbitral panel shall present its determination to the Parties 
within 30 days after it reconvenes. If the arbitral panel determines that the level of benefits 
proposed to be suspended is manifestly excessive, it shall determine the level of benefits it considers to be of equivalent effect (Article 15.15). 
5.25.  Unless the Parties otherwise agree, the co sts of the arbitral panel and other expenses 
associated with the conduct of its proceedings shall be borne in equal parts by the Parties 
(Article 15.17). 
5.8  Relationship with other agreements concluded by the Parties 
5.26.  In Article 1.4 the Parties reaffirm their existing rights and obligations with respect to each 
other under existing bilateral and multilateral agreements to which they are party, including the WTO Agreement. In the event of any inconsiste ncy between the Agreement and other agreements 
to which they are party, the Parties shall immediately consult with each other with a view to find a 
mutually satisfactory solution. If the Agreement explicitly contains provisions regarding such inconsistency, those provisions shall apply. 
5.27.  Table 5.1 lists all other regional trade agr eements (RTAs) notified and not notified to the 
GATT/WTO and in force to which Chinese Taipei and Singapore are party. WT/REG350/1 
 
- 32 - 
 
  Table 5.1 Singapore and Chinese Taipei: Pa rticipation in other RTAs (notified and 
non notified in force), as of 26 August 2014 
RTA Name Date of entry 
into force Coverage GATT/WTO Notification 
Year WTO Provision 
SINGAPORE 
ASEAN -Republic of Korea 01-Jan-10(G)  
01-May-09(S) Goods & Services 2010 Enabling Clause, GATT Art. 
XXIV & GATS Art. V 
ASEAN - China 01-Jan-05(G)  
01-Jul-07(S) Goods  
Services 2005 
2008 Enabling Clause  
GATS Art. V 
Costa Rica - Singapore 01-Jul-13 Goods & Services 2013 GATT Art. XXIV & GATS Art. V 
ASEAN - Australia - New Zealand 01-Jan-10 Goods & Services 2010 GATT Art. XXIV & GATS Art. V 
ASEAN - India 01-Jan-10 Goods 2010 Enabling Clause 
Peru - Singapore 01-Aug-09 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
China - Singapore 01-Jan-09 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
ASEAN - Japan 01-Dec-08 Goods 2009 GATT Art. XXIV 
Panama - Singapore 24-Jul-06 Goods & Services 2007 GATT Art. XXIV & GATS Art. V 
Trans-Pacific Strategic Economic 
Partnership 28-May-06 Goods & Services 2007 GATT Art. XXIV & GATS Art. V 
Republic of Korea - Singapore 02-Mar-06 Goods & Services 2006 GATT Art. XXIV & GATS Art. V 
Jordan - Singapore 22-Aug-05 Goods & Services 2006 GATT Art. XXIV & GATS Art. V 
India - Singapore 01-Aug-05 Goods & Services 2007 GATT Art. XXIV & GATS Art. V 
US - Singapore 01-Jan-04 Goods & Services 2003 GATT Art. XXIV & GATS Art. V 
Singapore - Australia 28-Jul-03 Goods & Services 2003 GATT Art. XXIV & GATS Art. V 
EFTA - Singapore 01-Jan-03 Goods & Services 2003 GATT Art. XXIV & GATS Art. V 
Japan - Singapore 30-Nov-02 Goods & Services 2002 GATT Art. XXIV & GATS Art. V 
New Zealand - Singapore 01-Jan-01 Goods & Services 2001 GATT Art. XXIV & GATS Art. V 
ASEAN Free Trade Area (AFTA) 28-Jan-92 Goods 1992 Enabling Clause 
Global System of Trade 
Preferences among Developing 
Countries (GSTP) 19-Apr-89 Goods 1989 Enabling Clause 
Singapore - GCC 01-Sep-13 Goods & Services Not notified 
CHINESE TAIPEI 
New Zealand - Chinese Taipei 01-Dec-13 Goods & Services 2013 GATT Art. XXIV & GATS Art. V 
El Salvador- Honduras - Chinese Taipei 01-Mar-08 Goods & Services 2010 GATT Art. XXIV & GATS Art. V 
Nicaragua - Chinese Taipei 01-Jan-08 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
Guatemala - Chinese Taipei 01-Jul-06 Goods & Services 2011 GATT Art. XXIV & GATS Art. V 
Panama - Chinese Taipei 01-Jan-04 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
The Cross-Straits Economic 
Cooperation Framework Agreement (ECFA) 12-Sep-10 Goods & Services Not notified 
Source: WTO Secretariat. 
5.9  Government procurement 
5.28.  Chapter 12 deals with government procurement. The Parties reaffirm their rights and 
obligations under the WTO's GPA (both Parties are signatories) and the 30 March 2012 Decision on the Outcomes of Negotiations on the GPA. Nothin g in Chapter 12 shall be construed to derogate 
from either Party's rights or  obligations under the GPA. 
5.29.  The Parties shall apply the provisions of Ar ticles I:(a), (c), (e)-(u), II-III, IV:1(a), 2-7, 
VI:1-2(b), 3, VII-XV, XVI:1-3, XVII-XVIII, the Agreement Notes, an d Appendices II-IV of the GPA 
to all covered procurement. To that end, these GPA Articles, Notes and Appendices are 
incorporated into Chapter 12, mutatis mutandis. If  the GPA is amended or superseded by another 
agreement, the Parties shall amend Chapter 12,  as appropriate, after consultations.  
5.30.  The Parties agree to notify each other in the event of minor amendments, rectifications or 
other modifications of a purely formal or minor nature to their Schedules contained in Annex 12A 
of the Agreement. Modifications to Annex 12A  Schedules involving business or commercial 
operations or functions of entities constituted or established as an enterprise with a legal entity WT/REG350/1 
 
- 33 - 
 
  separate and distinct from the government of Party, regardless of whether or not the government 
holds any shares or interest in such a legal entity, shall also be notified. In neither case is the other Party entitled to compensatory adjustments. Other modifications are subject to appropriate compensatory adjustments in order to maintain a level of coverage comparable to that existing 
prior to the modification. 
5.31.  Singapore has scheduled a procurement thre shold of SDR100,000 for all goods and services 
for central government entities under the Agreement (SDR130,000 in the revised GPA). Other 
thresholds are the same as those under the revi sed GPA. For goods, Chapter 12 applies to those 
goods covered by Singapore under the revised GP A. For services, Singapore's list of covered 
services under the Agreement contains a number of services in addition to those listed under the 
revised GPA
28 as shown in Table 5.2. For construction services, Chapter 12 applies to those listed 
by Singapore under the revised GPA.  
Table 5.2 Additional services covere d by Singapore under the Agreement  
CPC Description 
6112 Maintenance and repair services of motor vehicles 
 Voice telephone services 
 Packet-Switched data transmission services 
 Circuit-Switched data transmission services 
 Telex services 
 Telegraph services 
 Facsimile services 
 Private leased circuit services 
 Enhanced/value-added facsimile services incl uding store and forward, store and retrieval 
 Code and protocol co nversion services 
 Cellular mobile phone services 
 Trunked radio services 
 Mobile data services 
 Radio paging services 
842 Software implementation services 
845 Maintenance and repair of office machinery and equipment including computers 
849 Other computer services 
866 Services relating to management  consulting (excluding arbitration and conciliation services) 
8673 Integrated engineering services 
8676 Technical testing and analysis services 
871 Advertising services (limited to TV or radio advertisements) 
9401 Sewage services 
9402 Refuse disposal services 
9403 Sanitation and similar services 
9404 Cleaning services of exhaust gases 
9405 Noise abatement services 
9409 Other environmental protection services not elsewhere classified 
Source: The Agreement. 
5.32.  Chinese Taipei has scheduled a procurement threshold of SDR100,000 for all goods and 
services for Annex I entities under the Agreement (SDR130,000 in the revised GPA). Other 
thresholds are the same as those under the revi sed GPA. For goods, Chapter 12 applies to those 
goods covered by Chinese Taipei under the revised GPA. For services, Chinese Taipei has listed 
two services (commercial market research and convention services related to logistics for 
meetings) that do not appear in its revised GPA listing.29 A number of other services which are 
listed by Chinese Taipei under the revised GPA are not covered under the Agreement.  These are 
shown in Table 5.3.30 For construction services, Chapter 12 applies to those listed by Chinese 
Taipei under the revised GPA.  
                                               
28 WTO document, WT/Let/951. 
29 WTO document, WT/Let/978. 
30 These services are covered under the revised GPA with  respect to a particular Party only to the extent 
that such Party has provided reciprocal access to that service. WT/REG350/1 
 
- 34 - 
 
  Table 5.3 Services covered by Chinese Taipei under the revised GPA but not the 
Agreement  
CPC Description 
861** Legal services (limited to qualified lawyers under the laws of the Separate Customs 
Territory of Taiwan, Pe nghu, Kinmen and Matsu 
863** Taxation services (excluding in come tax certification services) 
82203**, 82205** Services incidental to residential and non-residential buildings and land sales agents 
83104** Leasing and rental services concerning airc raft without operator (excluding cabotage) 
83106-83109 Leasing or rental services concerning other machinery and equipment without operator 
8320 Leasing or rental services concer ning personal and household goods 
864 Market research and publ ic opinion polling services 
884**, 885 Services incidental to manufacturing (excluding CPC 88442 publishing and printing on a 
fee or contract basis) 
633, 8861-8866 Maintenance and repair of equipment (excluding maritime vessel, aircraft or other 
transport equipment) 
875 Photographic services 
876 Packaging services 
87909 Convention services 
843** On-line information and/or data processing 
812**, 814** Insurance services 
ex 81** Banking and investment services 
8868** Maintenance and repair of civil aircraft 
8867 Maintenance and repair of road transport equipment 
** indicates that the service specified constitutes only a part of the total range of activities covered by 
the CPC concordance. 
Source:  The Agreement. 
5.10  Intellectual property rights 
5.33.  Chapter 13 deals with intellectual property. The Parties agree to develop and promote 
mutually beneficial cooperation in intellectual property. The forms of cooperation envisaged include 
inter alia: exchanging publicly available publis hed documents and information by the Parties' 
intellectual property offices; exchanging expe rience on IP education and awareness; jointly 
collaborating in the organization of seminars; exchanging information on IP conferences, seminars 
and workshops; and facilitating linkages and dialogue. 
5.11  Competition Policy 5.34.  Chapter 10 deals with competition. Anti-competitive practices are defined as business 
conduct or transactions that adversely affect competition, such as: abuse of market power; 
anti-competitive mergers and acquisitions; and an ti-competitive horizontal arrangements between 
competitors. The Parties agree to cooperate on matters relevant to competition policy in order to further effective competition law (Article 10.2). The Parties agree to notify each other of any 
enforcement activity regarding anti-competitive practices if such activity is liable to substantially 
affect the other Party's trade interests; relates to restrictions on competition which are liable to have a direct and substantial effect in the other Party; or concerns anti-competitive acts taking 
place principally in the other Party (Article 10.3). 
5.35.  Upon request, a Party shall make available public information concerning the enforcement of 
its measures proscribing anti-competitive business conduct and concerning exemptions provided 
under its competition laws. Information exchanged between the Parties in relation to consultation 
conducted pursuant to the provisions of the competition Chapter shall be kept confidential. The Parties may agree to the public release of information that they do not consider confidential (Article 10.4). 
5.36.  The Parties agree to enter into consultations to address specific matters arising under the 
competition Chapter in order to foster understanding (Article 10.5). 
5.37.  Nothing in the Chapter prevents a Party fr om designating or maintaining public or private 
monopolies according to its respective laws. With regard to public enterprises and enterprises to 
which special or exclusive rights have been grante d, the Parties shall ensure as of the Agreement's 
entry into force that no measure is adopted or maintained that distorts trade in goods or services WT/REG350/1 
 
- 35 - 
 
  among the Parties, contrary to the Agreement and th e Parties’ interests, and that such enterprises 
are subject to the rules of competition provided such rules do not obstruct the performance, in law or in fact, of the particular tasks assigned to them (Article 10.6). 
5.38.  The Parties do not have recourse to the dispute settlement mechanism of the Agreement for 
any matter arising under the competition Chapter, nor does the Chapter permit a Party to 
challenge any decision made by a competition authority of the other Party in enforcing applicable competition laws and regulations (Article 10.7). WT/REG350/1 
 
- 36 - 
 
  ANNEX 
1. A comparison between the scheduled elimination of tariffs applied to the Parties' mutual 
imports and the duty rates applied by them on MF N imports is shown in Tables A1.1 and A1.2, by 
agricultural (WTO definition), non-agricultural and total products. Applied MFN duty rates in 2014 
serve as a comparison. 
2. Singapore's overall average applied MFN tariff rate in 2014 was 0%. Duty-free tariff lines 
accounted for 99.9% of all tariff lines. Upon entr y into force of the Agreement, exporters from 
Chinese Taipei enjoyed duty-free market access in all goods. 
Table A1. 1 Singapore: Indicators of MFN tari ff rates and preferential rates for imports 
from Chinese Taipei 
Origin 
of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products  
Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overal
l (%) On 
dutiable 
(%) 
MFN 2014 0.0 0.0 99.9 0.0 0.0 99.5 0.0 0.0 100.0 
Chinese 
Taipei 2014
to 
2028 0.0 0.0 100.0 0.0 0.0 100.0 0.0 0.0 100.0 
a WTO Definition. 
Note: For the calculation of averag es, specific rates are excluded. 
 Based on the HS 2012 nomenclature. 
Source:  WTO estimates based on data from WTO-IDB. 
3. Chinese Taipei's average applied MFN rate in  2014 was 7.3%. The average applied tariff on 
agricultural products was 17.9% compared to an average applied tariff of 5.2% for 
non-agricultural products. Duty-free tariff lines a ccounted for 29.5% of all tariff lines. Upon entry 
into force of the Agreement, Singapore's exporter s enjoyed a relative margin of preference of 
34.6% for agricultural goods vis à-vis the prevailing MFN tariff in 2014, and 73.1% for 
non-agricultural goods. Overall, Singapore's expo rters enjoyed a margin of preference of 56.2% 
vis-à-vis the prevailing average applied MFN tariff. By the end of the transition period in 2028, the 
share of duty free lines vis-à-vis Singapore is schedul ed to increase to 99.5% of the total tariff, of 
which 96.9% will be for agricultural lines and 100% for non-agricultural lines. 
Table A1.2 Chinese Taipei: Indicators of MFN tariff rates and preferential rates for 
imports from Singapore  
Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products  
Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overal
l (%) On 
dutiable 
(%) 
MFN 2014 7.3 10.4 29.5 17.9 23.3 23.0 5.2 7.5 30.8 
Singapore 2014 3.2 18.6 83.0 11.7 33.7 65.2 1.4 10.7 86.7 
 2015 2.8 16.7 83.0 10.9 31.3 65.2 1.2 9.0 86.7 
 2016 2.5 14.8 83.0 10.0 28.8 65.2 1.0 7.4 86.7 
 2017 2.2 12.8 83.0 9.2 26.4 65.2 0.8 5.7 86.7 
 2018 1.9 15.1 87.8 8.3 25.8 67.7 0.5 6.6 91.8 
 2019 1.6 13.4 87.8 7.6 23.5 67.7 0.4 5.3 91.8 
 2020 1.4 11.6 87.8 6.8 21.1 67.7 0.3 4.0 91.8 
 2021 1.2 9.8 87.8 6.1 18.8 67.7 0.2 2.7 91.8 
 2022 1.0 8.0 87.8 5.3 16.4 67.7 0.1 1.3 91.8 
 2023 0.8 78.7 99.0 4.6 81.3 94.4 0.0 4.6 100.0 
 2024 0.7 76.2 99.0 4.4 78.8 94.4 0.0 3.7 100.0 WT/REG350/1 
 
- 37 - 
 
  Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products  
Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overal
l (%) On 
dutiable 
(%) 
 2025 0.7 73.7 99.0 4.3 76.2 94.4 0.0 2.8 100.0 
 2026 0.7 71.2 99.0 4.1 73.7 94.4 0.0 1.8 100.0 
 2027 0.7 68.7 99.0 4.0 71.2 94.4 0.0 0.9 100.0 
 2028 0.6 125.3 99.5 3.8 125.3 96.9 0.0 0.0 100.0 
a WTO Definition. 
Note: For the calculation of averag es, specific duties are excluded. 
 Based on the HS 2012 nomenclature. 
Source:  WTO estimates based on data from the Chinese Taipei authorities. 
4. Table A1.3 shows the market access opportunities in Singapore for Chinese Taipei's 
top 25 exports, which in 2011-2013 accounted for an average of 48.6% of Chinese Taipei's global 
exports. The table shows in which year all HS 8- digit tariff lines corresponding to the product 
definition will become duty free in Singapore.  
5. Chinese Taipei's top 25 exports cover a total of 106 HS lines all of which were already 
duty-free on an MFN basis in 2014.  
Table A1.3 Singapore: Market access oppo rtunities under the agreement for Chinese 
Taipei's top 25 exports to the world 
Chinese Taipei's top export products in 2011-2013  Access Conditions to 
Singapore's import 
markets  
MFN (2014)  
HS number and description of the product  Share in 
global 
exports (%)  Average MFN 
applied rate 
(%) Number of  
duty-free 
lines  
854239 Other Electronic integrated circuits, other than 
amplifiers, memories , processors and 
controllers 16.7 0.0 1 
271019 Petroleum oils and oils obtained from 
bituminous minerals (other than crude)  3.5 0.0 16 
901380 - Other devices, appliances and instruments 3.0 0.0 3 
901390 - Parts and accessories 2.6 0.0 4 
851712 -- Telephones for cellular networks or for other 
wireless networks 2.5 0.0 1 
271020 - Petroleum oils and oils obtained from 
bituminous minerals (other than crude)  2.3 0.0 1 
854140 - Photosensitive semiconductor devices 2.1 0.0 5 
854232 -- Memories 2.0 0.0 1 
853400 Printed circuits. 2.0 0.0 4 
847330 - Parts and accessories of the machines of 
heading 84.71 1.7 0.0 2 
852351 -- Solid-state non-volatile storage devices 1.4 0.0 6 
853120 - Indicator panels incorporating liquid crystal 
devices (lcd) or light emitting diodes (led) 1.0 0.0 1 
851770 Parts of telephone sets  0.9 0.0 10 
390330 - Acrylonitrile-butadiene-styrene (abs) 
copolymers 0.8 0.0 4 
291736 -- Terephthalic acid and its salts 0.7 0.0 1 
731815 -- Other screws and bolts,  whether or not with 
their nuts or washers 0.7 0.0 1 
870899 Other parts and accessories for motor vehicles  0.6 0.0 11 
871200 Bicycles and other cycles (including delivery 
tricycles), not motorised. 0.6 0.0 4 
900120 - Sheets and plates of polarising material 0.6 0.0 1 
271012 -- Light oils and preparations 0.6 0.0 14 
852580 -Television cameras, digital cameras and video 
camera recorders 0.6 0.0 5 WT/REG350/1 
 
- 38 - 
 
  Chinese Taipei's top export products in 2011-2013  Access Conditions to 
Singapore's import 
markets  
MFN (2014)  
HS number and description of the product  Share in 
global 
exports (%)  Average MFN 
applied rate 
(%) Number of  
duty-free 
lines  
710812 -- Other unwrought forms 0.5 0.0 1 
847170 - Storage units 0.5 0.0 7 
290531 -- Ethylene glycol (ethanediol) 0.5 0.0 1 
710692 -- Semi-manufactured 0.4 0.0 1 
Total of above 48.6  106 
Note: Based on HS 2012 nomenclature. 
Source: WTO estimates based on data from WTO-IDB and UNSD, Comtrade databases. 
6. Table A1.4 below shows market access opportunities for Singapore's top 25 exports, which 
in 2014 accounted for 52.3% of Singapore's exports. In 2014, 61 tariff lines were duty free on an 
MFN basis, with 21 dutiable. As a result of the Agreement a further 18 tariff lines will become duty free in 2014, with the remainder liberalized in 2018.  
Table A1.4 Chinese Taipei: Market acce ss opportunities under the agreement for 
Singapore's top 25 exports to the world  
Singapore's top export products in 2011-2013 Access conditions to Chinese 
Taipei's import markets HS number and description of the product 
Share in global 
exports (%) MFN 2014 Duty-
free in Average 
MFN 
applied 
rate (%) 
Duty Free 
Dutiable 
Lines 
2014 
2018 
271019 Petroleum oils & oils obtained from bituminous 
minerals 9.9 2.2 8 10 7 3  
854239 Other Electronic integrated circuits, other than 
Amplifiers or Memories or Processors and controllers 8.5 0.0 1    
854231 -- processors and controllers, whether or not 
combined with memories, converters, logic circuits, amplifiers, clock and timing circuits, or ot her circuits 7.3 0.0 1    
271012 -- light oils and preparations 4.9 0.9 3 1 1  
271020 - petroleum oils and oils obtained from bituminous 
minerals (other than crude)  3.2 1.6 3 3 3  
847330 - parts and accessories of the machines of heading 
84.71 2.1 0.0 1    
854232 -- memories 1.7 0.0 1    
844399 Other parts and accessories for printing machinery 
excluding 8443.91 1.5 0.0 1    
880330 - other parts of aeroplanes or helicopters 1.3 0.0 1    
854290 Parts of electronic integrated circuits 1.3 0.0 2    
851712 -- telephones for cellular networks or for other 
wireless networks 1.1 0.0 1    
300490 Medicaments (excluding goods of heading 
30.02/30.05/30.06/3004.10-3004.50)  1.0 1.5 12 1 1  
843143 -- parts for boring or sinking machinery of 
subheading 8430.41 or 8430.49 1.0 0.0 1    
847170 - storage units 0.9 0.0 2    
292249 Amino-acids, other than those containing > one kind 
of oxygen function, & their esters (excl. of 2922.41-2922.44); salts thereof 0.7 1.5 2 2 2  
711319 -- of other precious metal, whether or not plated or 
clad with precious metal 0.7 0.0 1    
890520 - floating or submersible drilling or production 
platforms 0.7 0.0 1    WT/REG350/1 
 
- 39 - 
 
  Singapore's top export products in 2011-2013 Access conditions to Chinese 
Taipei's import markets HS number and description of the product 
Share in global 
exports (%) MFN 2014 Duty-
free in Average 
MFN 
applied 
rate (%) 
Duty Free 
Dutiable 
Lines 
2014 
2018 
851762 -- machines for the reception, conversion and 
transmission or regeneration of voice, images or 
other data, including switching and routing apparatus 0.7 0.0 1    
854390 - parts 0.7 0.8 2 1 1  
293500 Sulphonamides. 0.6 5.0  1 1  
847150 - processing units other than those of subheading 
8471.41 or 8471.49, whether or not containing in the same housing one or two of the following types 
of unit : storage units, input units, output units 0.5 0.0 1    
852329 Magnetic media for the reco rding of sound/of other 
phenomena, but excl. products of Ch. 37., other than 
cards incorporating a magnetic stripe 0.5 0.0 2    
490700 Unused postage, revenue or similar stamps of 
current or new issue in the country in which they have, or will have, a recognised face value 0.5 0.0 5    
901890 - other instruments and appliances 0.5 0.0 8    
390190 Polymers of ethylene, in primary forms (excl. of 
3901.10-3901.30) 0.4 2.5  2 2  
Total of above 52.3  61 21 18 3 
Note: Based on HS 2012 nomenclature. 
Source: WTO estimates based on data from the Chines e Taipei authorities and UNSD, Comtrade database. 
__________