Fri, Aug 09, 2002 - Page 10 News List

Business ponders Chen's statements

STRAIT TALK While some say that the Taiwan president may have intentionally thrown a monkey-wrench into the gears, others say he broke an important promise

By Richard Dobson  /  STAFF REPORTER

President Chen Shui-bian (陳水扁) has deliberately sunk any chances of

improving ties with China and endangered Taiwan's economic security along

with that of the US with his recent inflammatory remarks, according to

international commentators.

In editorials and commentaries published in various regional journals,

Chen's "one country on each side of the Taiwan Strait" statement was roundly

panned as dangerous while the president himself was pilloried for breaking

promises not to destabilize ties with China.

"By calling for legislation to hold a referendum on independence for the

island, and labeling the two sides of the Taiwan Strait separate countries,

he has not only broken a promise not to do such things that he made to

Taiwan's people and its friends around the world," blared an editorial in

the Asian Wall Street Journal.

"Mr. Chen's speech has thus damaged the island's economic interests and

destabilized the complicated three-way relationship between Taiwan , China

and the US" said the journal.

Rupert Hammond-Chambers, president of the US-Taiwan Business Council, agreed

commenting in the Wednesday edition of the same newspaper that Chen had

broken promises to maintain stability across the strait and potentially

placing the US' own economic interests at risk.

"President Chen reneged on a most significant, although unspoken,

understanding with the United States and China when he raised the

controversial issue of independence last Saturday sending shudders through

those who work and trade in the global market," he said.

Hammond-Chambers pointed out that the integration between the US, China and

Taiwan has left their economies "increasingly inseparable," therefore

leaving the US "no other choice" but to become involved in a cross-strait

conflict.

"The flow of trade and America's increasing reliance on China and Taiwan is

itself becoming a major source of risk to America's economic health and well

being," he said.

While the immediate media flurry surrounding Chen's remarks will gradually

fade from the headlines, Hammond-Chambers predicted that "the frigid air

that now occupies the Taiwan will remain and make any d?tente between the

two sides highly unlikely in the near future."

Indeed as an editorial in the Far East Economic Review points out, Chen has

quite blatantly pulled the plug on even attempting to bridge the

cross-strait gap.

"Chen's spin doctors are desperately trying to convince everybody that his

Saturday speech represents nothing new. But in the coded language of

cross-strait relations, he delivered a very clear message: I don't want to

talk," it said.

Additionally, by deliberately taking an offensive approach to "engagement"

with China, Chen risks surrendering support it has garnered internationally

by previously playing up its earnest attempts to initiate dialogue while

enduring China's victimization.

"Taiwan's leaders can best build international support by refraining from

deliberately provoking China. Indeed, one reason Taiwan maintains the moral

high ground is because in recent years it has sought to engage the mainland,

despite many rebuffs," it said.

"The best he can do is to refrain from repeating those phrases and remember

in future that he was elected with a mandate to both preserve Taiwan's

sovereignty and find a modus vivendi with an often irrational mainland," it

said.

However irrational was the term used by one investment banker who requested

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