November 26, 1999 12:17pm
Source: Reuters
By Amran Abocar
TORONTO,(Reuters) - Canada fell into step with the United States
Friday, signing a bilateral agreement matching the landmark
U.S.-China deal reached earlier this month that paved the way for
China to join the World Trade Organization.
The deal calls for a cut in tariffs on Canadian exports to China, with
priority given to telecommunications equipment, aircraft, canola oil and
paper products, Canadian International Trade Minister Pierre Pettigrew
said during a signing ceremony in Toronto.
Joining him for the ceremony was Shi Guangsheng, China's minister for
foreign trade and economic cooperation.
Before it can enter the WTO, China must still reach market-opening
agreements with other key powers in the organization, including the
15-member European Union.
``Important issues still need to be resolved multilaterally, issues to
finalize the overall pathway for China's entry, but we are confident this
can be done quickly,' Pettigrew said.
China's Shi said negotiations with other WTO members will be
speeded up and reiterated Beijing's position on compliance with WTO
regulations.
``After its accession into the WTO....China will undertake its
corresponding responsibilities and strictly abide by WTO rules,' he
said through a translator, adding that China's inclusion in the WTO will
help its ``reform and opening to the outside.'
Canada-China bilateral trade is worth about C$10 billion a year, and
China is Canada's fourth-largest trading partner. In 1998, Canada's
exports to China were valued at C$2.5 billion, with agricultural goods
topping the list.
In its deal with China, Canada negotiated tariff reductions on priority
goods that will see duties fall from an average of 12.5 percent to about
5 percent in under three years.
As well, China will open the door to Canada's booming high-tech
industry, eliminating all tariffs on items covered by the International
Telecommunications Agreement, such as telecoms equipment, within
five years.
The deal is similar to the U.S.-China agreement, signed two weeks
ago, in many respects but also addresses unique Canadian interests,
mostly related to agricultural products, which made up more than 55
percent of Canada's exports to China in 1998.
Canada's ruling Liberal Party has often been assailed by opposition
politicians and human rights groups for doing business with nations,
such as China, that have been criticized for their human rights records.
``The deep conviction we have is that trade does lead to development,
and development does lead to better human rights,' Pettigrew said in
response to a question at the signing ceremony.
China's Shi bristled at the mention of human rights.
``This is about China's accession to the WTO. This is a world trade
organization. Trade organization! It would not address any issues
relating to human rights,' he said.
``Many other members of the WTO do not agree with the discussion of
other issues in this trade discussion. For example, China does not
agree with the discussion of labor standards.' |
