BEIJING, Jan. 2 (UPI) -- China and Taiwan boosted trade by cutting tariffs as the year began, their governments said.
Under the "early harvest program" of the Economic Cooperation Framework Agreement, the mainland cut tariffs on 539 Taiwanese goods and Taiwan did so for 267 mainland goods, Xinhua reported Sunday.
Within two years, the duties on those products will be eliminated, which will give Taiwan an advantage over Japan and South Korea in the Chinese market.
On Saturday, Chinese customs in Xiamen, coastal Fujian province, cleared the first imports from Taiwan with the reduced tariffs.
The duty on the shipment -- 4 tons of fruit worth $2,920 -- was cut from 12 percent to 5 percent.
Also Saturday, the first mainland export to Taiwan under the new terms -- 22.6 tons of joss sticks for Buddhist worship worth $17,328 -- passed through Xiamen Customs. Their tariff in Taiwan was reduced from 5 percent to 2.5 percent.
China also is letting Taiwanese companies enter 11 service sectors, including accounting, hospital, banking and securities, while Taiwan is opening nine of its service sectors to mainland firms.
According to figures from both sides, the mainland has been Taiwan's No. 1 trading partner and export market since 2007.
