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    Beijing flexes its muscles against Taiwan at APEC

    By Jessie Ho
    STAFF REPORTER, IN SYDNEY
    Thursday, Sep 06, 2007, Page 12

    With its growing economic muscle, China's ambition of taking the lead role in Asia is on show at this year's APEC summit, a move which puts Taiwan in an unfavorable position in the international arena.

    As the first APEC leader to arrive in Australia, Chinese President Hu Jintao (胡錦濤) was able to seize the limelight and front pages of major newspapers before US President George W. Bush arrived on Tuesday night.

    China has gained the upper hand in the Asia-Pacific region, partly as a result of US neglect.

    Hu made his first stop on Monday night in Perth, the gas and mineral-rich capital of Western Australia.

    He plans to spend a week traveling across the country. Other than protests from Falun Gong members and supporters, Hu is a welcome figure -- as are the big checks in his pocket.

    One day after his arrival, a group of five state-run Chinese companies and the Australian port and railway builder Yilgarn Infrastructure Ltd struck a landmark A$750 million (US$616 million) deal for the construction of an A$3 billion port facility at Geraldton.

    In Canberra, Hu oversaw the signing of an offtake agreement between Shell and PetroChina International Co (中國石油天然氣) to supply 1 million tonnes of liquid natural gas to China annually for the next 20 years, as well as overseeing an agreement between Rio Tinto and Sinosteel Corp (中國中鋼集團) to extend their Channar mining joint venture.

    China is Australia's second-largest trade partner. Bilateral trade grew 20 percent to US$32.95 billion last year, official statistics show.

    China's growing importance in powering the Australian economy has led to a lower status for Taiwan.

    A rather cynical story in yesterday's Sydney Morning Herald reported on the warm welcome given to the Chinese delegation, while the Taiwanese delegation was left out in the cold.

    With the headline "State breaks bread with China, while Taiwan dines alone," the story said when New South Wales Premier Morris Iemma hosted a formal state dinner for Hu's delegation on Tuesday night at the five-star Sofitel Wentworth Sydney hotel, the Taiwanese delegates were dining at a yum cha restaurant.

    "The state government did not pay for even a fortune cookie for the Taiwanese visitors," the paper said.

    Citing a spokesman for the Taiwanese delegation, the report said arrangements had been made so that Hu and Taiwanese special envoy Stan Shih (施振榮) would not end up next each other for the traditional summit photograph.

    It does not take a economist to understand the significance of China's economic power.

    A Sydney taxi driver said, "The economy will be good anyway as the Chinese are buying everything."
    This story has been viewed 1789 times.

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