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CALL ON MR MAUDE BY SIR JAMES SPICER: 6 SEPTEMBER

BACKGROUND NOTE ON TAIWAN

1. Unofficial links between Britain and Taiwan have flourished over

the last year or so, particularly in the commercial and cultural

fields.

2. In the past two years, UK-Taiwan trade has increased

significantly:

1987 UK Imports £1,006.3m

1988 UK Imports £1,150m

1987 UK Exports £292.3m

1988 UK Exports £356m

Although we still have a large trade deficit with Taiwan, UK exports

are now increasing faster than imports and between 1986 and 1988

Taiwan moved from 43rd to 33rd place in the UK export league table.

3. In recognition of the degree of importance we attach to our

commercial relations with Taiwan, the Anglo-Taiwan Trade Committee

(ATTC, the unofficial UK trade promotion office in Taipei) has

recently moved into new, larger offices, has taken on extra staff

and is now able to process Taiwanese applications for UK visas.

4. Previously visa applications were sent to Hong Kong and took

around 10 days to process. The ATTC's visa-handling unit, which has been open since 1 June, provides a more convenient and much faster

service (by referring applications directly to the FCO's Migration

and Visa Department for authorization). 99% of applications are

processed within 24 hours. 4,737 visas were processed in the first

month after opening and a record 638 processed on one day alone.

This improved service should encourage more Taiwanese businessmen to

visit the UK.

5. The Anglo-Taiwan Education Centre opened for business on 1 April

in premises adjacent to the new ATTC offices. This private sector initiative, which we actively support, has received substantial

financial backing from UK universities and companies and aims to encourage more Taiwanese students to come to UK universities and

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