Dedicated to promoting the Republic of China (Taiwan) to an English-language audience.
Thursday, July 22, 2010
Weekly News Backgrounder from Taiwan's Government Information Office
July 21, 2010
I. GIO Minister Updates U.S. Forum and Media on Cross-Strait Economic Pact
ROC Government Information Office Minister Johnny C. Chiang delivered a speech, “Taiwan—Building Partnerships for Asia-Pacific Economic Integration,” at the Carnegie Council for Ethics in International Affairs in New York on July 13. During his talk, he stressed that the signing of the Economic Cooperation Framework Agreement (ECFA) by Taiwan and mainland China represents a major step toward overcoming Taiwan’s economic isolation, achieving mutually beneficial cross-strait cultural, trade and investment cooperation and speeding up the economic integration of Asia.
Minister Chiang stated that signing the ECFA is only the first part of a longer process. Taiwan is a member of the WTO and has the right to sign FTAs with other WTO members, and President Ma Ying-jeou has already made FTA talks with Taiwan’s other trading partners an “administrative priority.” Now that the ECFA has been signed, there is no basis for the Chinese mainland hindering Taiwan from seeking to negotiate FTAs, he added.
During the subsequent question and answer period, Minister Chiang stated that the ECFA is an economic agreement that has nothing to do with politics. He noted that President Ma has vowed not to address such issues as independence or unification during his term in office. The President has said that building the cross-Strait relationship is a very long process with no set timetable. Minister Chiang observed that over one million tourists from the Chinese mainland have visited Taiwan so far, and he is certain that they now know what democracy is. In his view, this is the optimal way to demonstrate what freedom is all about.
The GIO Minister began his weeklong U.S. visit on July 10, during which he visited such mainstream international media as Time magazine, The Wall Street Journal and Newsweek. He was also interviewed by Jayshree Bajoria of the U.S.-based Council on Foreign Relations.
In response to U.S. media concern about Taiwan’s request to purchase arms from the United States, Minister Chiang replied that mainland China habitually opposes the sale of weapons by the U.S. to Taiwan. However, Taiwan seeks to purchase such weapons not because of an arms race with the mainland but rather to safeguard the security of the people of Taiwan. Taiwan’s stance in cross-strait talks must be backed up with the power to defend itself, and a credible deterrence is essential to prevent any miscalculations that might result in military conflict. Taiwan’s security remains under threat; so, based on the government’s sovereign obligation to protect the Taiwan public, it must continue to purchase weapons of a defensive character from the U.S.
As for how the ECFA will affect Taiwan’s economy, Minister Chiang explained that, given the frequency of cross-strait economic and cultural exchanges, the ECFA was signed to initiate the institutionalization and liberalization of extant economic relations between the two sides of the strait. Currently, 41 percent of Taiwan’s exports go to mainland China and Hong Kong. Once the ECFA takes effect, 539 of Taiwan’s tariff items on the “early harvest list” will be subject to tariff reduction or elimination on the mainland, boosting Taiwan’s GDP growth by 0.4 percent.
Although mainland China is currently flush with capital, Taiwan-based businesses on the mainland nevertheless bring more than just investment capital to that market; they also possess such advantages as management skills, adaptability and market savvy. Thus, the ECFA, once it goes into effect, will boost the regional competitiveness of Taiwan’s industries.
II. Tourism Specials Promise a Summer of Fun
Taiwan’s Tourism Bureau is promoting travel without a car this summer by providing shuttle buses in 10 of Taiwan’s cities and counties. Excursionists can save money and limit their carbon emissions as they travel on 21 routes connecting railway and high-speed rail stations with scenic spots through the bureau’s “Tour Taiwan Sightseeing Shuttle Service.”
From now until the end of September, shuttle buses to the following 11 destinations may be ridden free of charge: Dongshan River and Jiaoxi in Yilan County; Lion Mountain in Hsinchu County; Nanzhuang, Penglai, and Xiangtian Lake in Miaoli County; Xitou in Nantou County; Chiayi City; and Taitung City, Eastern Coastal Areas and Offshore Islands, and East Rift Valley-Luye in Taitung County. Stops for these shuttle buses are located at railway stations and high-speed rail stations near scenic spots and are marked by large, red signposts bearing the Tour Taiwan logo.
Shuttle buses are scheduled to depart every hour during weekdays, and every half-hour on weekends and holidays. Tickets to destinations other than the 11 already mentioned may be purchased at stations or the fare may be paid on the bus. For details, please visit http://www.taiwantrip.com.tw.
One item never far from the top of a traveler’s list is food. The Government Information Office is holding an online contest on Taiwan’s foods, entitled “Taiwan’s Yummy Snacks.” The four rounds of the contest will be held between July 15 and September 28.
For this event, eight of Taiwan’s specialty foods have been chosen to face off in four rounds. In the first round, pig-blood cake battles stinky tofu; then in round two, it’s oyster omelets against Taiwanese meat balls; in the third round, steamed dumplings will be matched up against braised pork rice; and to close things off, pearl milk tea will go toe-to-toe with mango shaved ice. Participants need only log on to the contest website to vote for their favorite food. Contestants may only cast a single vote each round, and all those who voted for the winner will be entered into a prize drawing. To access the contest website, please visit the Republic of China Government Entry Point at http://www.taiwan.gov.tw/.
III. Taiwan to Launch Investment Recruitment Campaign
Following up on the signing of the cross-strait economic cooperation framework agreement, the Council of Economic Planning and Development (CEPD) briefed the Cabinet on July 15 about a global investment solicitation plan aimed at raising Taiwan’s regional competitiveness. CEPD Minister Christina Liu said that a joint-service center for global investment recruitment established by the Ministry of Economic Affairs (MOEA) is scheduled to begin operation on August 8. The various ministries and central-government organizations were asked to submit investment proposals by July 20, from which the CEPD and other ministries would jointly select seven flagship plans. Among those expected to be incorporated into the initiative are internationalization of medical service, globalization of Taiwanese cuisine and digital convergence. The CEPD aims to attract US$55.9 billion in investment over the next six years.
In addition, the CEPD has scheduled investment recruitment seminars for Taipei, Taichung and Kaohsiung on August 23, 27 and 30, respectively. It will put forth a comprehensive action plan before the end of September and, in order to attract more investors, will organize a Taiwan Road Show to Japan, Singapore, Hong Kong, Europe and the United States from October to December.
As cross-strait relations have stabilized, Taiwan is fast becoming a lucrative investment destination. The MOEA announced on June 15 that direct investments by overseas Taiwanese and foreigners totaled US$2.2 billion in the first six months of 2010, an increase of 22.53 percent over the same period last year. Moreover, foreign investors are lining up to establish R&D centers on the island. According to the MOEA, after Microsoft’s decision to invest US$21 million in a “Software and Services Excellence Center” in Taiwan, Hewlett-Packard also applied for MOEA funding to build within three years a large development center that will employ 1,000 people. The MOEA has also granted approval to Sony, DuPont, Corning, Fujitsu, ASML and other multinational corporations to set up R&D centers in Taiwan.
Thursday, July 8, 2010
Weekly News Backgrounder from Taiwan's Government Information Office
July 7, 2010
I. ECFA Will Accelerate Asia’s Economic Integration: President Ma
After Taiwan’s Straits Exchange Foundation and its mainland Chinese counterpart, the Association for Relations Across the Taiwan Strait, signed the Economic Cooperation Framework Agreement (ECFA) on June 29, the Cabinet approved the agreement and forwarded it to the Legislature for review on July 1.
At a press conference held the same day, entitled “New Inflection Point for Taiwan, New Era for Asia – Choosing Correctly at a Critical Juncture,” President Ma emphasized that the agreement will spur breakthroughs in three areas: allowing Taiwan to overcome its economic isolation; encouraging economic relations between Taiwan and mainland China toward reciprocity and cooperation; and accelerating Asia’s economic integration.
The ECFA, said the president, holds far-reaching implications for Taiwan’s future, which the international community will be examining with keen interest. It will further solidify cross-strait peace while bringing about structural changes in the Asia-Pacific regional economy, he opined.
The agreement could also prevent the nation from being economically marginalized, the president said. It provides a systematic framework for mutually beneficial cooperation across the Taiwan Strait that will create more business and job opportunities.
The agreement, he added, will speed up economic integration in Asia, making Taiwan a more valuable asset in the eyes of the Asia-Pacific and the world. It has the potential to transform Taiwan into a springboard for enterprises around the world to enter mainland Chinese markets.
Following up on the signing of the ECFA, the Council for Economic Planning and Development (CEPD) will organize business fairs to solicit foreign investment in 12 focal industries in Taiwan. From October to December, the CEPD will make presentations in Japan, Singapore, the United States and Europe.
II. World Strongly Supports Cross-Strait Pact
The international community has voiced its support for the Economic Cooperation Framework Agreement (ECFA), signed on June 29 between Taiwan and mainland China, for its promise to bolster stability in Asia and increase trade. Foreign nations and bodies shared their hopes for cross-Strait interactions to continue expanding.
On June 29, a U.S. Department of State official said, “The United States welcomes the increased dialogue and interaction,” and hopes that relations between the two sides “will continue to expand and develop.” The cross-strait economic pact, the speaker continued, would help to increase trade and lead to a more stable Asia.
Catherine Ashton, the EU High Representative for Foreign Affairs and Security Policy, issued a statement on June 30 affirming that the signing of the ECFA “contributes significantly to stability and security in East Asia.” The statement went on to read, “The European Union believes that the expansion of cross-Strait economic relations has a potential also to benefit the development of its already significant trade and investment links in East Asia.”
The Ministry of Foreign Affairs of Japan, meanwhile, said on June 30 that the Japanese government welcomed the ECFA, and that it looks for Taiwan and the mainland to solve their problems peacefully through direct dialogue.
“The conclusion of the ECFA will further enhance economic cooperation between both sides and pave the way for the normalization of the cross-Strait economic relationship,” said Singapore’s Ministry of Foreign Affairs on June 30. “It will,” the ministry continued, “also be helpful in promoting regional economic integration.”
In a July 5 interview with Taiwan’s Central News Agency, Director-General Pascal Lamy of the World Trade Organization (WTO) affirmed that the ECFA with mainland China was a major achievement by Taiwan in meeting its overall trade objectives. This agreement would help improve cross-Strait relations and ensure Taiwan’s industrial competitiveness, while also furthering its economic integration with the world and attracting foreign investment.
The WTO Secretariat’s Trade Policy Review on Taiwan pointed out that a cross-Strait economic agreement would help improve relations across the Taiwan Strait and could prove beneficial to Taiwan in signing free trade agreements (FTAs) with its other major trading partners. Taiwan will then be better equipped to meet the competition created by FTAs signed between other Asian nations.
III. Taiwan’s Digital Economy Ranking Rises
Taiwan has again come into the international spotlight for its information and communications technology (ICT) development. It was listed at No. 12, four spots higher than the previous year, in the 2010 digital economy rankings released by the Economist Intelligence Unit (EIU) on June 29. The rankings are viewed as an indicator of economic competitiveness.
The EIU pointed out that Taiwan’s rise in ranking is attributable to its advantage in broadband technology, which, together with its sound legal and enhanced social environments, makes it an exemplary model for applying digital technology to creating economic and social benefits. This development has become increasingly common in Asia, where such leading “digital economies” as Taiwan and South Korea are outperforming Europe and North America in broadband quality.
EIU derives the annual rankings from surveys on the development of ICT in major economies, evaluating their network infrastructure and Internet use for social and economic purposes. It is hoped that both individuals and enterprises can, in a sound regulatory framework and through investment in communications infrastructure, contribute to increasing efficiency and prosperity. The “digital economy” benchmark is a reflection of how the use of ICT ultimately contributes to the world’s overall economic and social progress.
Wednesday, June 4, 2008
Cross-Strait Relations in Space?
"If China and Taiwan were to agree to fly to the ISS together they could take advantage of a series of opportunities, beginning with a possible participation by taikonauts from both nations in the possible final shuttle mission that may carry the AMS [Alpha Magnetic Spectrometer] to the station. Since the AMS contains parts made in both the PRC and on Taiwan, so this would fit nicely with the mission’s objectives."
Wednesday, May 21, 2008
President Ma's May 20 Inaugural Address
Taiwan's Renaissance
Ma Ying-jeou, President of the Republic of China (Taiwan)
Heads of State of Our Diplomatic Allies, Distinguished Guests, Overseas Compatriots, My Fellow
Taiwanese, and Dear Friends in front of a Television Set or Computer: Good Morning!
I. Historical Significance of the Second Turnover of Power
Earlier this year on March 22, through the presidential election of the Republic of China, the people changed the course of their future. Today we are here not to celebrate the victory of a particular party or individual, but to witness Taiwan pass a historic milestone.
Taiwan's democracy has been treading down a rocky road, but now it has finally won the chance to enter a smoother path. During that difficult time, political trust was low, political maneuvering was high, and economic security was gone. Support for Taiwan from abroad had suffered an all-time low. Fortunately, the growing pains of Taiwan's democracy did not last long compared to those of other young democracies. Through these growing pains, Taiwan's democracy matured as one can see by the clear choice the people made at this critical moment. The people have chosen clean politics, an open economy, ethnic harmony, and peaceful cross-strait relations to open their arms to the future.
Above all, the people have rediscovered Taiwan's traditional core values of benevolence, righteousness, diligence, honesty, generosity and industriousness. This remarkable experience has let Taiwan become "a beacon of democracy to Asia and the world." We, the people of Taiwan, should be proud of ourselves. The Republic of China is now a democracy respected by the international community.
Yet we are still not content. We must better Taiwan's democracy, enrich its substance, and make it more perfect. To accomplish this, we can rely on the Constitution to protect human rights, uphold law and order, make justice independent and impartial, and breathe new life into civil society. Taiwan's democracy should not be marred by illegal eavesdropping, arbitrary justice, and political interference in the media or electoral institutions. All of us share this vision for the next phase of political reform.
On the day of Taiwan's presidential election, hundreds of millions of ethnic Chinese worldwide watched the ballot count on TV and the Internet. Taiwan is the sole ethnic Chinese society to complete a second democratic turnover of power. Ethnic Chinese communities around the world have laid their hopes on this crucial political experiment. By succeeding, we can make unparalleled contributions to the democratic development of all ethnic Chinese communities. This responsibility is ours to fulfill.
II. Mission of the New Era
The new administration's most urgent task is to lead Taiwan through the daunting challenges from globalization. The world economy is changing profoundly, and newly emerging countries are arising rapidly. We must upgrade Taiwan's international competitiveness and recover lost opportunities. The uncertainty of the current global economy poses as the main challenge to the revitalization of Taiwan's economy. Yet, we firmly believe that, with right policies and steadfast determination, our goals are within our grasp.
Islands like Taiwan flourish in an open economy and wither in a closed one. This has been true throughout history. Therefore, we must open up and deregulate the economy to unleash the vitality of the private sector. This will strengthen Taiwan's comparative advantages. Taiwan's enterprises should be encouraged to establish themselves at home, network throughout the Asia-Pacific region, and position themselves globally. Taiwan's labor force must learn to adapt to rapid technological changes and industrial restructuring. Our youth must develop character, a sense of civic duty, global perspectives and lifelong learning capabilities. All forms of political interference in education must be eradicated. In this era of globalization, the government must satisfy the basic needs of the underprivileged and create opportunities for them to develop. While pursuing growth, we must seek environmental sustainability for Taiwan and the rest of the world.
The new administration must also restore political ethics to regain the people's trust in the government. We will endeavor to create an environment that is humane, rational and pluralistic-one that fosters political reconciliation and co-existence. We will promote harmony among sub-ethnic groups and between the old and new immigrants, encourage healthy competition in politics, and respect the media's monitoring of the government and freedom of the press.
The new administration will push for clean politics and set strict standards for the integrity and efficiency of officials. It also will provide a code for the interaction between the public and private sectors to prevent money politics. I hope every civil servant will keep in mind: "Power corrupts, and absolute power corrupts absolutely." The KMT will honor its sincere commitment to accountability in governance. The new government will be for all the people, remain non-partisan and uphold administrative neutrality. The government will not stand in the way of social progress, but rather serve as the engine that drives it.
As President of the Republic of China, my most solemn duty is to safeguard the Constitution. In a young democracy, respecting the Constitution is more important than amending it. My top priority is to affirm the authority of the Constitution and show the value of abiding by it. Serving by example, I will follow the letter and the spirit of the Constitution, especially the separation of powers. We must ensure that the government is based on the rule of law. The Executive Yuan must answer to the Legislative Yuan. The Judiciary must guarantee the rule of law and protect human rights. The Examination Yuan must make the civil service sound. The Control Yuan must redress mistakes by the government and censure malfeasance by civil servants. All told, we must take this opportunity to re-establish a robust constitutional tradition.
Taiwan has to be a respectable member of the global village. Dignity, autonomy, pragmatism and flexibility should be Taiwan's guiding principles when developing foreign relations. As a world citizen, the Republic of China will accept its responsibilities in promoting free trade, nonproliferation, anti-global warming measures, counter-terrorism, humanitarian aid, and other global commons. Taiwan must play a greater role in regional cooperation. By strengthening economic relations with its major trading partners, Taiwan can better integrate itself in East Asia and contribute more to the region's peace and prosperity.
We will strengthen bilateral relations with the United States, our foremost security ally and trading partner. Taiwan will continue to cherish its diplomatic allies and honor its commitments to them. We will expand cooperation with like-minded countries. On top of that, we will rationalize our defense budget and acquire necessary defensive weaponry to form a solid national defense force. At the same time, we are committed to cross-strait peace and regional stability. The Republic of China must restore its reputation in the international community as a peace-maker.
I sincerely hope that the two sides of the Taiwan Strait can seize this historic opportunity to achieve peace and co-prosperity. Under the principle of "no unification, no independence and no use of force," as Taiwan's mainstream public opinion holds it, and under the framework of the ROC Constitution, we will maintain the status quo in the Taiwan Strait. In 1992, the two sides reached a consensus on "one China, respective interpretations." Many rounds of negotiation were then completed, spurring the development of cross-strait relations. I want to reiterate that, based on the "1992 Consensus," negotiations should resume at the earliest time possible. As proposed in the Boao Forum on April 12 of this year, let's "face reality, pioneer a new future, shelve controversies and pursue a win-win solution." This will allow us to strike a balance as each pursues its own interests. The normalization of economic and cultural relations is the first step to a win-win solution. Accordingly, we are ready to resume consultations. It is our expectation that, with the start of direct charter flights on weekends and the arrival of mainland tourists in early July this year, we will launch a new era of cross-strait relations.
We will also enter consultations with mainland China over Taiwan's international space and a possible cross-strait peace accord. Taiwan doesn't just want security and prosperity. It wants dignity. Only when Taiwan is no longer being isolated in the international arena can cross-strait relations move forward with confidence. We have taken note that Mr. Hu Jintao has recently spoken on cross-strait relations three times: first, in a conversation of March 26 with US President George W. Bush on the "1992 Consensus"; second, in his proposed "four continuations" on April 12 at the Boao Forum; and third, on April 29 when he called for "building mutual trust, shelving controversies, finding commonalities despite differences, and creating together a win-win solution" across the Taiwan Strait. His views are very much in line with our own. Here I would like to call upon the two sides to pursue reconciliation and truce in both cross-strait and international arenas. We should help and respect each other in international organizations and activities. In light of our common Chinese heritage, people on both sides should do their utmost to jointly contribute to the international community without engaging in vicious competition and the waste of resources. I firmly believe that Taiwan and mainland China are open minded enough to find a way to attain peace and co-prosperity.
In resolving cross-strait issues, what matters is not sovereignty but core values and way of life. We care about the welfare of the 1.3 billion people of mainland China, and hope that mainland China will continue to move toward freedom, democracy and prosperity for all the people. This would pave the way for the long-term peaceful development of cross-strait relations.
The damage from the recent earthquake in Sichuan was shocking. All Taiwanese have expressed deep concern and offered immediate emergency assistance. We offer our deepest condolences to the earthquake victims and pay homage to the rescue workers. May the reconstruction of the affected area be completed at the earliest time possible!
III. Taiwan's Legacy and Vision
Upon being sworn in, I had an epiphany about the significance of accepting responsibility for the 23 million people of Taiwan. Although I have never felt so honored in my life, this is the heaviest responsibility that I have ever shouldered. Taiwan is not my birthplace, but it is where I was raised and the resting place of my family. I am forever grateful to society for accepting and nurturing this post-war immigrant. I will protect Taiwan with all my heart and resolutely move forward. I'll do my very best!
For over four centuries, this island of ours has welcomed waves of immigrants, nurturing and sheltering us all. It has provided us, our children and grandchildren, and the generations to come a safe haven. With its lofty mountains and vast oceans, Taiwan has invigorated us in mind and spirit. The cultural legacies we inherited over time not only survive on this land, but flourish and evolve, creating a pluralistic and vigorous human landscape.
The Republic of China was reborn on Taiwan. During my presidency, we will celebrate the 100th anniversary of the founding of the Republic of China. This democratic republic, the very first in Asia, spent a short 38 years on the Chinese mainland, but has spent nearly 60 years in Taiwan. During these last six decades, the destinies of the Republic of China and Taiwan have been closely intertwined. Together, the two have experienced times good and bad. On the jagged path toward democracy, the ROC has made great strides. Dr. Sun Yat-sen's dream for a constitutional democracy was not realized on the Chinese mainland, but today it has taken root, blossomed and borne fruit in Taiwan.
I am confident about Taiwan's future. Over the years, I have traveled to every corner of the island and talked with people from all walks of life. What impressed me most was that the traditional core values of benevolence, righteousness, diligence, honesty, generosity and industriousness could be seen everywhere in the words and deeds of the Taiwanese people regardless of their location and age. These values have long been ingrained in their character. This is the wellspring of our progress, also lauded as the "Taiwan Spirit."
One can see that Taiwan is blessed with an excellent geographic location, precious cultural assets, a maturing democracy, innovative entrepreneurship, a pluralistic society, active civic groups, patriotic overseas compatriots, and new immigrants from all over the world. We should couple the "Taiwan Spirit" with our comparative advantages and the principle of "putting Taiwan first for the benefit of the people." This way we can transform our homeland-Taiwan, Penghu, Kinmen and Matsu-the envy of the world.
To revive Taiwan requires the efforts of both the government and the people. We need the expertise of the private sector, cooperation among all political parties, and participation by all the people. My dear compatriots, from this moment on, we must roll up our sleeves to build up our homeland. Together, we can lay a solid foundation of peace and prosperity for our children, grandchildren and the generations to come. Let's work hand in hand for our future!
My dear compatriots, please join me:
Long live Taiwan's democracy!
Long live the Republic of China!
Thank you!
Monday, March 24, 2008
Olympic Pledge for Peace Rings Hollow
As reported in your March 10 article by Wendell Minnick, “Is DoD Annual Report on China 20/20?,” China’s continued increases in military spending raise doubts regarding Beijing’s commitment to a peaceful resolution of tensions in the Taiwan Strait. In light of such doubts, Taiwan has been focusing heavily over the past few years on improving its defensive capabilities.
March 14 marks the 3rd anniversary of the ratification of China’s “Anti-Secession Law.” When one considers this document—which reserves for China the ‘right’ to use force against Taiwan—alongside the ever-increasing array of over 1,000 short-range ballistic missiles (SRBMs) deployed against Taiwan in China’s southeastern province, one wonders if Beijing’s pledge to behave in the interest of peace as this year’s Olympic host was some kind of sarcastic joke.
Taiwan’s leaders concern themselves with preserving the island’s vibrant and democratic society when they arrange for the purchase of defensive weapons, but an attack by China against Taiwan would also deal a major blow to the state of the global economy. Taiwan is a key link in the global IT supply chain; a major cross-Strait conflict could seriously cripple electronics trade worldwide.
Taiwan’s global importance also accounts for its need to be seated in vital international forums; namely, the United Nations and World Health Assembly. Until China can be convinced of this point, Taiwan and the United States will hopefully continue to successfully negotiate arms purchases and further build on the strong bilateral relationship necessary to keep the island well-protected.
Eddy Tsai
Director, Press Division
Taipei Economic and Cultural Representative Office in the U.S.
Washington
Things Can Happen Pretty Fast. . .
First there were reports released by the U.S. Departments of State and Defense on the P.R.C. Then the Olympic/human rights situation in China boiled over and took center stage in international news coverage as the Chinese government cracked down on political dissidents in Tibet and all over China. Those were followed by a rejuvenated call for boycotting the 2008 Beijing Olympics, a topic that any realist a month ago would have shrugged off as a hopeless fringe position.
Finally, this past weekend, the people of Taiwan elected a new president in their fourth direct presidential elections. President-elect Ma Ying-jeou of the KMT is set to be sworn into office on May 20.
Prior to all that, there had been a bit of a lull in cross-Strait relations developments. All parties involved had already voiced their positions and the news focused mainly on developments in Taiwan's domestic politics and the presidential race--crucial indeed, but not the central focus here at R.O.C. the Boat. Now, with Taiwan's next leader chosen and the many recent developments over the past week or so, we'll probably be playing a lot of blogger's catch-up as our head slowly stops spinning.
Thursday, January 31, 2008
Political Pand'-ering
Beijing, of course, didn't make the whole thing go over any easier with Taiwan's ruling party when, according to the AP, they subsequently named the lovable fuzzy-wuzzies: "'tuantuan' and 'yuanyuan' — words that together mean 'reunion' in Chinese."
Tuesday, January 22, 2008
Taiwan's Titanic Tech Trade
Tze-Chen Tu, general director of the Industrial Economics & Knowledge Center (IEK), at Taiwan's Industrial Technology Research Institute (ITRI), said that every country wants to keep its first-tier industries at home, and that technology transfers are banned if thought harmful to economic or national security.
"We don't like to see them go but even when Taiwan companies shift manufacturing to China, they come back for design and for critical components," said Tu.
Monday, January 7, 2008
Chicago Tribune interview with President Chen
Q: Were you surprised by President Hu's call for peace?
A: No, it's just a strategy to deceive our people and foreign countries. . .If Hu Jintao abandons the one-China principle, I will be surprised. If China gives up its one-party dictatorship, renounces the use of force against Taiwan and removes the 988 [1,326?] missiles deployed opposite Taiwan, then I will be truly surprised.
Enjoy.
Thursday, January 3, 2008
China: More guns, less butter.
- The commonly accepted figure for the size of China's economy was reduced by 40 percent.
- The estimated number of ballistic missiles deployed against Taiwan by China has increased by 30 percent.
First, discrepancy in the size of China's economy seems to arise from the World Bank's use of way-outdated data sets (originally generated in the 1980s) to come up with the purchasing power parity (PPP) estimates that are crucial when estimating the size of an economy. PPP is a measurement obtained by weighing the relative values of currencies when those currencies are used to obtain identical goods in their domestic markets. Eduardo Porter, who wrote a great editorial for the New York Times on the 'downsizing' of China's economy almost a month ago, put it this way:
Take a 40 yuan serving of noodles at an eatery in Beijing. If the same dish cost $4 at a comparable restaurant in New York, the noodle P.P.P. would be 10 yuan to the dollar. Calculated using a large basket of goods and services, this ratio allows for a more consistent comparison of economies. . .
. . .It turns out that things in China are more expensive. It’s as though we discovered that the real price of the noodles in Beijing was 50 yuan, yielding a P.P.P. of 12.5 yuan to the dollar rather than 10. That means the Chinese are relatively poorer and China’s economy is smaller than everybody thought.
This is not a mere technicality. Suddenly the number of Chinese who live below the World Bank’s poverty line of a dollar a day jumped from about 100 million to 300 million, roughly the size of the United States population. And if you thought China’s energy consumption was dismally inefficient, consider that it still uses the same amount of energy to produce 40 percent less stuff.
As Porter puts it, with the release of the new World Bank figures, China's estimated economic output "lost a chunk roughly the size of Japan’s output." Maybe the World Bank will remember to update their purchasing power figures sooner next time?
The phenomenon of China's shrinking 'overnight' was also mentioned in today's Nelson Report, where the venerable Chris Nelson referred readers to a much more recent article in the LA Times entitled "The Great Fall of China". As China no longer seems like quite the economic juggernaut it has often been made out to be, perhaps the specter of 'antagonizing China' will no longer carry quite as much weight. To add a little more perspective, consider that the United States' economy is currently worth about $13 trillion. Economists previously thought the U.S. would be eclipsed by China's $11 trillion economy in 5 years. Not anymore: China's $11 trillion economy is now a $6 trillion economy.
Secondly, there's the small matter of the missiles China is piling up in its southeastern provinces, with a view toward threatening and forcibly coercing Taiwan. Throughout the second half of 2007, it was estimated that the number of short-range ballistic missiles the PLA had deployed against Taiwan was just shy of one thousand. However, during his final New Year's Day address, Taiwan's President Chen announced an updated study by Taiwan's Ministry of Defense boosts this number to 1,326. Just during President Chen's term alone, the number has increased by almost 700%. The jump in China's arsenal was reported in this article by the Epoch Times; an English-language transcription of President Chen's New Year's Day address can be read here.
These new figures will hopefully generate a more realistic public image of China's adopted role in the world economy and international relations. Combine China's increased poverty figures and drastically slashed economy size with continued missile proliferation and sales of weapons to governments like those of Myanmar and the Sudan, and one quickly realizes that China's role entails a lot more guns and a lot less butter than most of us previously thought.
Monday, December 31, 2007
What's bad for the Goose is bad for the Gander

What does this mean for Taiwan? Well, what's bad for the goose. . .
A senior Taiwanese official said Beijing's move underlined why the island could not accept reunification [sic] with mainland China.
Tung Chen-yuan, a deputy chief of Taiwan's China policy-making body, known as the Mainland Affairs Council, said the decision sent a clear signal "that the Chinese Communist Party does not allow genuine democracy.
Friday, December 21, 2007
More Food for Thought
Exerpt from 12/20 article, "Blind in Beijing" by Dan Blumenthal
published in The American, an AEI publication
If economic growth and “peace and development” are China’s main goals—as the Communist Party states, and as many Chinese surely desire—then why is China engaged in the most significant military buildup in the world? The PRC enjoys a secure external environment: East Asia is more stable today than it has been in decades. Chinese protestations that the military buildup is “all about Taiwan” are less than reassuring. For one thing, the very idea that China would prepare for war with a de facto sovereign nation over which it has had no official control since the late 1800s is totally inconsistent with modern notions of sovereignty. There are many English-speaking countries that are no longer part of the British Empire; nor are all German-speaking countries part of Germany. Both England and Germany are doing just fine without their former colonies. And should China’s intentions change as its strength increases, the same military capabilities that could be used against Taiwan could also be deployed against American forces in a range of scenarios.
Thursday, December 20, 2007
UN for Taiwan 101
We were at the Heritage Foundation Tuesday, where Taiwan's Representative to the United States, Dr. Jaushieh Joseph Wu, addressed policy experts, media and conference attendees during an event entitled, "Taiwan's UN Bid: Domestic Democracy or International Crisis?"
Representative Wu’s address covered the legal and practical arguments in support of Taiwan’s bid to become a UN member. He asserted that both Taiwan and the international community have a substantial interest in Taiwan’s full participation in the UN, reminding the audience of Taiwan’s status as the world’s eighteenth largest economy and its role as a regional “beacon of freedom,” due to its national journey from authoritarian rule under the old Chiang regime to today’s “active, vibrant democracy.” Wu noted that “despite its legal and substantive standing, Taiwan has been stifled by the People’s Republic of China in its attempts to join the United Nations and other international organizations.”
The ensuing panel discussions came together as a tour-de-force of the many factors enmeshed in the issue of Taiwan's proposed UN referendum. Thankfully, the dialogue seemed to be relatively balanced, although each speaker seemed more intent on listing what they saw as the key issues and possible consequences surrounding the controversy rather than explicitly weighing in on whether or not Taiwan should go ahead with the planned votes in March. One thing the panelists did agree on, is that at this point in time, the referendum seems likely to take place.
China expert Randy Shriver, former Deputy Assistant Secretary of State for East Asian and Pacific Affairs, listed the many facets of the political climate in Taiwan which have lead to the general need to hold a referendum, including a “genuine desire on the part of the people of Taiwan to be a part of the United Nations,” as well as a “desire to deepen and strengthen Taiwan’s democracy” and to “provide evidence to the world of differentiation between the PRC and Taiwan.” Mr. Shriver also listed “continuing efforts to define and express [Taiwan’s] national identity” and “political motivations” as contributing factors to Taiwan’s referendum drive.
David Brown, a professor at the Johns Hopkins University School of Advanced International Studies, struck a more precautionary tone. He stated that the planned referendum was part of a “vicious circle between Taiwan and the mainland,” in which military buildup and increased pressure from the mainland causes Taiwan to become increasingly assertive on behalf of its separate national entity, in response to which the government in Beijing becomes increasingly more belligerent. Unfortunately, Brown seemed to believe that the onus is on Taiwan to cease its efforts to gain international representation rather than on Beijing to halt and reduce its military buildup opposite Taiwan on China's southeastern coast.
Overall, the conference may be best described as a 'hung jury,' which in our view isn't necessarily a bad thing. Although it may be difficult separate the various contributing factors that make international and domestic politics on Taiwan such a perplexing milieu, it seemed clear to most or all present at Tuesday's event that the referenda are not solely the products of crass political maneuvering by political parties on Taiwan. If that were the case, the DPP and KMT would have never gained enough signatures to go ahead with the vote.
Note: You can see video of Tuesday's event on Heritage's website by clicking here.
Friday, December 7, 2007
Quick Jot: New PINR report on U.S.-PRC relations
Many thanks to the China Digital Times news update service for drawing our attention to this valuable report.
Friday, November 30, 2007
A gaffe-and-a-half: Kitty Hawk & minesweeper follow-up
For an excellent example of how the PRC government is hurting China's image with irrational actions arising from equally irrational grievances—over the U.S. honoring the Dalai Lama, or selling Patriot missiles defense upgrades to its ally, Taiwan, etc.—read this editorial by Lorna Hahn, executive director of the Association on Third World Affairs in today's Washington Times:
China-Taiwan tensions
In violation of the long-established principle that all nations should assist ships at sea that are in distress, China recently refused to allow two American minesweepers threatened by a storm to enter Hong Kong harbor for safety and fuel ("China's action troubles admiral," Page 1, Wednesday). Shortly thereafter, it withdrew permission for an American aircraft carrier, carrying sailors planning to spend Thanksgiving with relatives, to enter Hong Kong.The reason, according to U.S. officials, was the announcement on Nov. 9 that Washington would sell Taiwan $939 million worth of upgraded Patriot missile defense systems in order to "help improve the security of the recipient and assist in maintaining political stability, military balance and economic progress in the region."
If China would begin to dismantle its 900-some missiles aimed at Taiwan rather than continually increase their number, Taiwan would not need to increase its defenses against them. Furthermore, if Beijing's leaders would meet with Taiwan's President Chen Shui-bian, as he has suggested often, tensions in the Taiwan Strait, which often affect other countries, could be replaced by cooperation.
LORNA HAHN
Executive director
Association on Third World
Affairs
Washington
The open sea is perhaps the last place on earth that operates under what, for lack of a better phrase, can be referred to as a 'frontier-style' culture. Just like the fabled unwritten Code of the West in American frontier history, there are certain things on the high seas that—no matter who you are—you just don't do. One of those unwritten taboos is to bar entry into a harbor to any vessel threatened by stormy seas. As long as there's room in the harbor, there's room for more ships, especially when the seas are a-rockin'.
So really, does China's government exhibit the sense of maturity, much less the sense of humanity, to be allowed to recklessly manipulate the international community in the way that it does? Does it have any inherent right to lay claim to a democratic and self-sustaining island when it can't even responsibly attend to its own affairs? We'll leave you with that thought in this wrap-up of the recent PRC-USN SNAFU.
Friday, November 16, 2007
Some Helpful Articles:
The first is an editorial by the Houston Chronicle, entitled, "Their dilemma, and ours," in which the Chronicle underscorses the dark irony we have to live with when democratic Taiwan continues to get the international 'cold shoulder', while oppressive Beijing happily frolicks towards the 2008 Summer Olympics without the slightest reform to China's cruel and stifling political system. Some highlights:
Neither independent nor subjugated, commanding one of the world's largest economies but officially recognized by few nations, the island democracy of Taiwan endures a tenuous existence in a world that requires global access. If that weren't bad enough, it is menaced by a hostile neighbor that claims ownership.
and:
Taiwan's dilemma offers a similar set of difficulties for the United States. Taiwan's de facto U.S. ambassador, Joseph Wu, outlined for members of the Houston World Affairs Council the several bitter ironies of the situation. The United States must maintain workable relations with China and can't recognize Taiwan, even though:
• China menaces Taiwan with missiles and threats, while Taiwan poses a danger to no one.
• Taiwan is a major U.S. trading partner, importing many tons of agricultural products, including Texas beef, and exporting electronic equipment that meets high standards of quality and safety. China sends us tainted food and toxic toys.
• Taiwan has curbed its air and water pollution, but China's regime fears environmental activists more than environmental degradation.
Chinese leader Hu Jintao recently called for talks with Taipei officials to maintain peace in the region. China and Taiwan should "resume talks on an equal footing as soon as possible," Hu said before his recent summit with President Bush in Washington.
and:
As for the United States, the least it can do is grant Taiwan the same generous trading terms it recently gave South Korea, one of Taiwan's chief competitors. Washington should also champion Taiwan's desire to work with vital international institutions such as the United Nations' World Health Organization. To deny Taiwan access is to punish a peaceful, democratic ally while rewarding an oppressive competitor.
We couldn't have said it better ourselves. Pay particular attention to the call for increased trade (TUFTA?) and UN/WHO membership for Taiwan in the pentultimate sentence. These actions are the first solid step towards righting the wrongs collectively forced upon Taiwan over the many years that it has been a legitimate democracy.
The second article was by Simon Tisdall of the U.K. rag The Guardian. Entitled, "Taiwan squeezed as US and China negotiate," it highlights an unsettlying dynamic that was recently discussed during a panel discussion at the Heritage Foundation: the more the United States suffers from diplomatic tunnel vision dealing with the Middle East, the more it is forced to rely on major regional players like China to help maintain at least a semblance of order elsewhere in the world. In doing so however, the United States may end up bargaining away foreign affairs objectives it would never have conceded otherwise. One can easily see how this might apply to Taiwan:
According to Taiwan's president, Chen Shui-ban, China now has 988 missiles aimed at Taiwanese targets and is continually adding to its arsenal. Chen, who strongly opposes unification and the communists' "one China" mantra, recently described Beijing as a threat to regional peace and said it was preparing to take the island by force by 2015. Last month China said it had deployed a high-performance radar system designed to complement its surface-to-air missiles and jet fighter interceptors.
Robert Gates, the US defence secretary, questioned the build-up during a visit to Beijing last week. The two sides agreed to create a military hotline to help defuse crises. But Gates' overriding stated priority was securing China's backing for steps to curb Iran's nuclear activities. On Taiwan, he merely reiterated Washington's formulaic support for maintaining the status quo.
. . .Taiwanese officials say China has become adept at manipulating the Bush administration. "They are under pressure from China. China is very clever. If they want to do something on Taiwan, they call the White House and tell the Americans that Taiwan is rocking the boat. Then the US government puts pressure on us," a senior official said. "Of course we are afraid about the growing cooperation between the US and China. It's a problem for us. It is definitely squeezing Taiwan."
Thursday, November 15, 2007
Lost in the Mail: PRC fails to deliver vital health alerts to Taiwan
Monday, October 15, 2007
Reporting We Like
TAIPEI, Taiwan: Taiwan on Monday rejected a call by Chinese President Hu Jintao for a formal peace accord between the two rivals, saying it lacked any significance.
Government spokesman Shieh Jhy-wey's comments came several hours after Hu told a major Communist Party meeting that Beijing favored a peaceful, negotiated settlement to the 58-year-old conflict, provided Taiwan accepts that it is a part of China.
Taiwan and China split amid civil war in 1949. The "one-China principle" has formed the basis of Beijing's policy toward the self-ruled island ever since.
In Taiwan's first official reaction to Hu's comments, Shieh said that the Chinese leader's invitation "was devoid of any significance whatsoever."
"We will not discuss peace, unification, or any other issues with a regime that has suppressed the Tibetans, killed its own people and supported the military junta of Myanmar," he said.
Taiwan frequently castigates Beijing for its human rights policies, including its support for military or dictatorial governments abroad.
Emphasizing the differences between the two, Shieh said that Taiwan is founded on human rights and democracy, while China's ruling Communist Party does not represent the will of its own people.
"China is threatening Taiwan with war," he added, referring to Beijing's promises to attack the island of 23 million people if it makes it de facto independence permanent.
Though Taiwan's government once vowed to reunite with the mainland, over the past several years it has emphasized its separate identity, drawing threats from Beijing to use the military option.
Hu warned in his speech that Taiwan's independence forces were "stepping up their secessionist activities," jeopardizing chances for peace between the two sides. He said people in China and Taiwan should work to "oppose and constrain such activities" and offered to work with any political parties in Taiwan as long as they agreed that Taiwan was part of China.
Beijing is particularly worried that with Taiwan's next presidential election due in March and the Beijing Olympics in August, Taiwanese leaders might be tempted to test the limits of China's tolerance. Last month, Taiwan's ruling Democratic Progressive Party passed a resolution calling for a referendum on Taiwan's sovereignty.
President Chen Shui-bian has also pushed for Taiwan's entry into the United Nations under its own name, rather than its formal title of the Republic of China, which connotes fealty to the one China policy.
This reporter took the time to explain Taiwan's valid grievances concerning the lack of human rights and democracy in China under the PRC regime, rather than painting an all-too-common loose sketch of the situation that leaves Taiwan's government looking like a stubborn and naïve agitator. One can hardly imagine criticizing Taiwan for being an island that "frequently castigates Beijing for its human rights policies, including its support for military or dictatorial governments abroad."
The only thing we could see that might be worth knit-picking over is this sentence: "Taiwan and China split amid civil war in 1949." Perhaps the unfamiliar reader would interpret this to mean that the civil war was simply a matter of Taiwan seceeding from China or, even worse, the PRC the same way states in the American South attempted to seceed from the Union during the American Civil War. Perhaps a better sentence would be: "China and Taiwan split at the end of civil war on the mainland in 1949," or, if the writer can afford the extra real estate: "In 1949 at the end of the China's civil war, the Nationalists fled to Taiwan, maintaining there a seperate government from the PRC in Beijing."
These two suggestions seem to better convey the historical reality--although we can hardly claim to be seasoned hands concerning Taiwan-PRC relations If any one of our readers can think of a better line for the press, please feel free to post it in the comments section!
Wednesday, September 5, 2007
United States coerces China to back down on UN vote
Taipei - China, under pressure from the United States, has dropped a plan to initiate a United Nations vote affirming that Taiwan is part of China, a Taiwan newspaper said on Wednesday.
The China Times, in a dispatch from Washington DC, said China has canceled the plan for the UN vote. China now says that it is UN members' consensus that Taiwan is part of China, so there is no need for a vote.
In a nine-point clarification, the US told the UN that the assertion, 'Taiwan is part of the People's Republic of China,' is not the consensus of the majority UN members, and is not the consistent policy of the US.
Washington has conveyed this stance to both the UN and Taipei, the mass-circulation Chinese-language paper said.
China originally planned to ask UN members to vote on the statement, 'Taiwan is part of China,' to block Taiwan's bid to join the UN. . .
© 2007 DPA - Deutsche Presse-Agentur
This is a major development, as an affirmative vote on the statement "Taiwan is part of China", when linked with the Resolution 2758 statement that the "representatives of the People's Republic of China are the only lawful representatives of China to the United Nations" would have more or less permanently closed the door to UN membership for Taiwan. Undoubtedly, more details on how the U.S. was able to lean on China and convince the PRC to give up the proposed vote will follow.
Interestingly enough, China used essentially the same justification to back away from this vote that Taiwanese politicians use in regards to declaring Taiwan's independence. Taiwan leaders will say that there is no need to declare independence because Taiwan is allready an independent country. China is now saying that there is no need to put "Taiwan is a part of China" to a vote in the UN, because it is allready a commonly accepted view by the majority of UN members. The United States explicity rejected this assertion in a nine-point clarification, saying "'Taiwan is part of the People's Republic of China,' is not the consensus of the majority UN members, and is not the consistent policy of the US."
Monday, August 20, 2007
What Sport! A Zesty Exchange of Views over Taiwan in the 50th State.
"U.S. must defend Taiwan against China". by Richard Halloran
"U.S. likely won't defend Taiwan from China". by Oliver Lee
"Taiwan cannot be taken by force". by Lin Yu-chong
Debates over whether or not the United States should aid Taiwan in the event of a conflict almost always return to the question of the historical case for Taiwan's sovereignty, which is why we believe it fitting to share these articles here. Many of the arguments that appear in these three articles also appear again and again in the debate over whether Taiwan has a right to UN membership.