AGREEMENT IN THE FORM OF AN EXCHANGE OF LETTERS BETWEEN THE
EUROPEAN COMMUNITY AND THE SEPARATE CUSTOMS TERRITORY OF TAIWAN,
PENGHU, KINMEN AND MATSU PURSUANT TO ARTICLE XXIV:6 AND ARTICLE
XXVIII OF THE GENERAL AGREEMENT ON TARIFFS AND TRADE(GATT)1994
RELATING TO THE MODIFICATION OF CONCESSIONS IN THE SCHEDULES OF
THE CZECH REPUBLIC, THE REPUBLIC OF ESTONIA, THE REPUBLIC OF
CYPRUS,THE REPUBLIC OF LATVIA, THE REPUBLIC OF LITHUANIA,THE
REPUBLIC OF HUNGARY, THE REPUBLIC OF MALTA,THE REPUBLIC OF
POLAND, THE REPUBLIC OF SLOVENIA AND THE SLOVAK REPUBLIC IN THE
COURSE OF THEIR ACCESSION TO THE EUROPEAN UNION

EL/CE/TW/en 1

A. Letter from the European Community
Geneva, 26 June 2006

Sir,

Pollowing the initiation of negotiations between the European
Communities (EC) and the Separate Customs Territory of Taiwan,
Penghu, Kinmen and Matsu under Article XXIV:6 and Article XXVIII
of GATT 1994 for the modification of concessions in the
Schedules of Czech Republic; the Republic of Estonia,the
Republic of Cyprus,the Republic of Latvia, the Republic of
Lithuania,the Republic of Hungary, the Republic of Malta, the
Republic of Poland, the Republic of Slovenia and the Slovak
Republic in the course of their accession to the EC, the
following is agreed between the EC and the Separate Customs
Territory of Taiwan, Penghu, Kinmen and Matsu in order to
conclude the negotiations initiated following the EC’s
notification of 19 January 2004 to the WTO pursuant to Article
XXIV:6 of GATT 1994.

The EC agrees to incorporate in its Schedule for the customs
territory of EC 25, the concessions that were included in its
previous schedule of EC 15.

The EC agrees that it will incorporate in its schedule for the
EC 25 the following conccssion:

87120030(bicycles not motorized): A lowering of the current
bound EC duty of 15% to 14,0%.

This Agreement shall enter into force upon the exchange of
letters of agreement, following consideration by the parties in
accordance with their own procedures.The EC shall use its best
endeavours to put in place the appropriate implementing measures
before 1 March 2006 and under no circumstances later than I July
2006.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the
European Community


B. Letter from the Separate Customs Territory of Taiwan, Penghu,
Kinmen and Matsu
Geneva, 26 June 2006

Sir,

Reference is made to your letter stating:

“Following the initiation of ncgotiations between the European
Communities(EC) and the Separate Customs Territory of Taiwan,
Penghu, Kinmen and Matsu under Article XXIV:6 and Article XXVIII
of GATT 1994 for the modification of concessions in the
Schedules of Czech Republic, the Republic of Estonia, the
Republic of Cyprus, the Republic of Latvia, the Republic of
Lithuania, the Republic of Hungary, the Republic of Malta, the
Republic of Poland, the Republic of Slovenia and the Slovak
Republic in the course of their accession to the EC, the
following is agreed between the EC and the Separate Customs
Territory of Taiwan, Penghu, Kinmen and Matsu in order to
conclude the negotiations initiated following the EC’s
notification of 19 January 2004 to the WTO pursuant to Article
XXIV:6 of GATT 1994.

The EC agrees to incorporate in its Schedule for the customs
territory of EC 25, the concessions that were included in its
previous schedule of EC 15.

The EC agrees that it will incorporate in its schedule for the
EC 25 the following concession:

87120030(bicycles not motorized): A lowering of the current
bound EC duty of 15% to 14,0%.

This Agreement shall enter into force upon the exchange of
letters of agreement, following consideration by the parties in
accordance with their own procedures. The EC shall use its best
endeavours to put in place the appropriate implementing measures
before 1 March 2006 and under no circumstances later than 1 July
2006.”

I hereby have the honour to express my Govemment’s agreement.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Separate Customs Territory
of Taiwan, Penghu, Kinmen and Matsu