STAND. COM. REP. NO. 3427

Honolulu, Hawaii

RE:    S.R. No. 8

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committee on Transportation and International Affairs, to which was referred S.R. No. 8 entitled:

"SENATE RESOLUTION REQUESTING THE REESTABLISHMENT OF STATE-PROVINCE RELATIONS OF FRIENDSHIP BETWEEN THE STATE OF HAWAII AND THE PROVINCE OF ILOCOS NORTE OF THE REPUBLIC OF THE PHILIPPINES,"

begs leave to report as follows:

     The purpose and intent of this measure is to request the reestablishment of state-province relations of friendship between the State of Hawaii and the Province of Ilocos Norte of the Republic of the Philippines.

     Your Committee did not receive any testimony on this measure.

     Prior to holding a hearing on this measure, your Committee posted and made available for public review a proposed S.D. 1, which urges the United States to support the Republic of China's (Taiwan) participation in the Trans-Pacific Partnership.

Your Committee received testimony in support of the proposed S.D. 1 from the Taipei Economic and Cultural Office in Honolulu and the Hawaii Chinese Association.  Your Committee received testimony in opposition to the proposed S.D. 1 from six individuals.  Your Committee received comments on the proposed S.D. 1 from one individual.  Your Committee believes, after review of the written testimony in opposition to the proposed S.D. 1, that the opposition misinterpreted the proposed S.D. 1 to instead support trade between Taiwan and mainland China, which is not the case.

     Your Committee finds that President Obama's foreign policy strategy, "Rebalancing to Asia", represents a significant shift in American foreign policy from a Middle Eastern/European focus to an East/South Asian one.  The effect of "Rebalancing to Asia", among other things, is that Asia-Pacific countries must integrate into regional economic organizations.  Taiwan is a full member of the World Trade Organization and the Asia Pacific Economic Cooperation.  As an industrialized nation, Taiwan aspires to play a more active role in the Asia-Pacific region and to provide more contributions to the international economic community.

If Taiwan joins the Trans-Pacific Partnership (TPP), it will be the sixth largest economy in the TPP.  Taiwan is ready and qualified to join TPP as a member to provide more contributions to the Asia-Pacific region.  Taiwan and the United States have long enjoyed a cordial friendship based on shared common interests in promoting peace, stability, and prosperity in the Asia-Pacific region.  Taiwan would share the fruits of mutual free trade as a member of the TPP, and enhance and strengthen the economic and business ties between the people of Taiwan and the United States.

     Your Committee has amended this measure by adopting the proposed S.D. 1.

     As affirmed by the record of votes of the members of your Committee on Transportation and International Affairs that is attached to this report, your Committee concurs with the intent and purpose of S.R. No. 8, as amended herein, and recommends its adoption in the form attached hereto as S.R. No. 8, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Transportation and International Affairs,

____________________________

J. KALANI ENGLISH, Chair