TAIWAN SAYS U.S. WANTS TAIWAN DOLLAR TO APPRECIATE

  The United States wants Taiwan's
  currency to appreciate faster to reduce Taiwan's trade surplus
  with the U.S., A senior trade official said.
      Board of Foreign Trade director Vincent Siew told reporters
  on Saturday U.S. Officials told him in Washington last week
  that unless Taiwan allowed its dollar to rise faster it would
  face retaliation.
      Siew returned from Washington on Friday after the U.S
  responded to Taiwan's request to increase its textile export
  quotas by promising further talks in May. Taiwan's surplus with
  the U.S. Hit a record 13.6 billion U.S. Dlrs in 1986.
      Washington signed a three-year accord with Taipei last year
  limiting textile export growth to 0.5 pct a year.
      Siew said the Taiwan dollar had risen by about 15 pct
  against the U.S. Dollar since September 1985.
      It surged last week amid indications Washington was seeking
  a major rise in its value. It rose four cents against the U.S.
  Dollar on Saturday to close at 34.59.
      Western trade sources told Reuters Taiwan and the U.S. Have
  been holding talks on the currency issue but added it is not
  clear how far Washington wants to see the Taiwan dollar rise.
  

