  
  
S/C/N/ 1127 
31 January 2023 
(23-0704) Page: 1/2 
Council for Trade in Services  Original:  English  
 
  
NOTIFICATION PURSUANT TO ARTICLE III:3 OF THE  
GENERAL AGREEMENT ON TRADE IN SERVICES  
The following notification, dated  31 January 2023, from the delegation of the Separate Customs 
Territory of Taiwan, Penghu, Kinmen and Matsu , is being circulated to Members of the Council for 
Trade in Services . 
 
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1  MEMB ER NOTIFYING : 
The Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu  
2  NOTIFICATION UNDER : 
Article III:3 of the General Agreement on Trade in Services   
3  DATE OF ENTRY INTO FORCE : 
1 July 2020  
3.1  Duration:  
Indefinite  
4  AGENCY RESPONSIBLE FOR ENFORCEMENT OF THE MEASURE : 
National Communications Commission & Ministry of Digital Affairs  
5  DESCRIPTION OF THE MEASURE : 
Measure:  
Telecommunications Management Act  
Description:  
The Telecommunications Management Act was drafted with a view to facilitating the continued 
development of digital convergence and aligning with the trend of layered supervision. The Act was 
drawn up following a thorough analysis of the regulatory framewor ks of advanced countries and 
regions. The Act officially came into effect on 1 July 2020 along with a three -year transition period, 
during which the old Telecommunications Act and the new Telecommunications Management Act co -
existed.  
As the Act aims to enc ourage competition and reduce entry barriers for telecommunications 
enterprises, a minimum degree of supervision has been adopted, thereby reducing unnecessary 
market interventions. After undertaking a thorough assessment of market conditions, specific 
remedies have also been introduced to promote fairness and competition.  
The main principles of this act that differ from the previous regulatory framework are outlined below:  S/C/N/112 7 
 
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  I. Lower market entry barriers  
A registration system has been adopted to replace the  outdated model of concession and licensing 
in order to lower the telecom market entry threshold and simplify the procedures.  
II. Deregulation to promote competition  
The classification of telecommunications has also been adjusted. Formerly, telecommunicati ons were 
classified into Type I or Type II telecommunication enterprises, based on whether there was physical 
infrastructure in place, such as equipment, lines, etc. In the new Act, telecommunication services 
refer to public communication services provided  through the public switched telecommunications 
network (PSTN), which is based on whether enterprises possess frequencies or numbers.  
III. Obligations of operation  
In order to protect the rights and interests of consumers and ensure the public interests, g eneral 
obligations, special obligations and designated obligations have all been clearly assigned in 
accordance with various telecommunication services. In addition, in order to promote fair 
competition in the market, after undertaking a market competition  assessment, the competent 
authority may determine that a certain enterprise be categorized as a significant market power 
(SMP). Consequently, an asymmetric framework shall be adopted to ensure that such enterprises 
are subject to regulation, while allowin g smaller enterprises greater freedoms.  
IV. Spectrum use and management  
A spectrum sharing mechanism has been introduced to allow the leasing, lending and transfer of the 
spectrum in order to enhance its harmonization, efficiency and fairness of use.  
V. Maintenance of infrastructure and cybersecurity  
Obligations have been set for providers to protect the public telecommunications network, including 
the use of telecommunications equipment that meets security standards, the establishment of a 
security mainte nance plan, and the definition of the scope of critical telecommunications 
infrastructure, etc., while cooperating with other ministries and agencies to ensure network 
maintenance and national security.  
6  MEMB ERS SPECIFICALLY AFFECTED, IF ANY : 
None 
7  TEXTS AVAILABLE FROM : 
https://law.moj.gov.tw/ENG/LawClass/LawAll.aspx?pcode=K0060111   
 
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