Taiwan and China today (29 June) signed a wide-ranging trade agreement that will remove or lower tariffs on a range of items, including textile products.

The 'Cross-Strait Economic Cooperation Framework Agreement' covers trade, investment, economic co-operation, with both sides committed to "gradually reduce or eliminate barriers to trade and investment between them, and create fair trade and investment environment."

Local media reports suggest China has agreed to offer tariff exemptions or reductions on 500 products from Taiwan and that Taiwan will open its market to between 100 and 200 industrial items from China. Tariff reductions for textiles could be 80%.

The landmark trade deal comes some 60 years after Taiwan cut ties with the Chinese mainland.