Taiwan and Canada Sign the Arrangement for Mutual Recognition of AEO to Facilitate Bilateral Trade
The Mutual Recognition Arrangement (MRA) of Authorized Economic Operator Program (AEO) and Partners in Protection Program (PIP) between Taiwan and Canada was signed at the 20th Annual Canada-Taiwan Economic Consultations held in Taipei on December 5, 2024. Through the Arrangement, exporters awarded AEO and PIP status from Taiwan and Canada can both enjoy preferential treatment during border clearance.
The Arrangement was signed by Representative Harry Tseng of the Taipei Economic and Cultural Office in Canada and Executive Director Jim Nickel of the Canadian Trade Office in Taipei, while it was witnessed by Taiwan’s Deputy Economic Minister Chern-Chyi Chen and Deputy Director General Shu-Zhen Shu of Taiwan Customs Administration, as well as high-ranking officials from Canadian government.
Taiwan Customs Administration indicates that the inking of this Arrangement symbolizes a historic milestone for customs cooperation between the two Customs administrations. In view of the fact that Taiwan is the 6th largest trading partner of Canada in Asia, as the average annual bilateral trade value amounts to US$5 billion over the past three years, the MRA will bring substantial economic benefits to both sides. It is expected that, through continuing to work closely, both administrations will further generate a favorable environment for bilateral customs cooperation and ensure that trade facilitation and supply chain security for both countries will be enhanced.
Taiwan Customs has implemented its AEO program since December 2009 and 952 AEOs were certified as of November 30, 2024, including 421 Safety and Security AEOs and 531 General AEOs, whose import/export value accounts for approximately 50% of Taiwan’s total trade value. In addition, with continuous efforts throughout all these years, Taiwan Customs already signed AEO MRAs with the United States, Singapore, Israel, South Korea, Australia, Japan, India, New Zealand, and Guatemala. This Arrangement is the 10th AEO MRA that Taiwan has signed since its implementation of AEO program.
Taiwan Customs Administration further indicates that, Taiwan exporters awarded Safety and Security AEO status will be directly benefited. Through the mutual recognition of AEO/PIP status granted by the customs administrations of both sides, AEO/PIP-certified exporters from either country can enjoy preferential customs procedures and treatment at the other side. This will significantly enhance their competitiveness through their access to a trade environment of facilitated customs clearance procedures, strengthened supply chain security, and just-in-time & zero-inventory logistics management. In addition, it will have a far-reaching influence on the bilateral trade, bringing the economic prosperity of both countries to a whole new level.
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Reference URL：https://www.mof.gov.tw/Eng/singlehtml/f48d641f159a4866b1d31c0916fbcc71?cntId=cb31d32a4240425aaefcbf176b812bc7