When Deputy US Trade Representative Karan Bhatia visited Taipei in May, the local media called it progress. It was the first visit by a senior US government official in a long time. Over the 1990s there had been Cabinet-level visits, but none in the present administration of US President George W. Bush. That's progress?
The purpose of the visit was a long awaited Trade and Investment Framework Agreement meeting. Taiwan had shown sufficient progress on intellectal property rights to remove it from the 301 Priority Watch List. In this meeting, Taiwan continued to show progress on other matters but work still had to be done.
However, the real interest in the meeting was in the potential for a free trade agreement between Taiwan and the US, and its impact on cross-strait relations. There are various interests on cross-strait issues within Taiwan, but some of the Taiwan media played the FTA issue as most important.
Soon afterwards the issue of a possible FTA for Taiwan was raised in Bhatia's testimony to the US House International Relations Committee. It seems to be common in Washington these days, with it's almost complete focus on the Middle East and North Korea, that the usually ambiguous words used on other sensitive issues easily get policy vocabulary a bit twisted.
The first talks between the US and Taiwan on the feasibility of a FTA took place several years ago. The competition among countries that wanted to sign a FTA agreement with the US at that time was just as difficult as it is today. Then as now, the US Trade Representative (USTR) established the economic goals the US wants from a FTA.
What was seen by the US side in those early years, and openly agreed by many on the Taiwan side, was that the FTA priority for Taiwan was political -- including support for Taiwan's participation in the international community and strengthening its position in cross-strait relations. The USTR, with its economic priorities, saw this as an opportunity to improve on bilateral economic problems, most wanted by US companies or industries, such as intellectual property rights, not on a FTA agreement that would be of less importance to US companies.
Taiwan now seems to have established a much stronger economic basis for arguing its case on a FTA, helped ironically by the rise of China's economic importance. Ironically also, however, it seems the US side has changed its strategy on the FTA issue with Taiwan -- in entirely the opposite direction. There is now in Taiwan a very strong and important debate on the extent Taiwan's economy can gain from greater relations with China's economy, without losing it's separate identity, sovereignty and democracy. That is of crucial importance to Taiwan, but it also is equally important to the US and Japan.
Taiwanese companies need to expand to other countries besides China. Over the years, they have demonstrated their capacity to move quickly from one country to another when necessary, especially in Southeast Asia, but elsewhere as well. Many US companies in China have Taiwanese supervisors and technicians. Having a US-Taiwan FTA partnership would be important for both the US and Taiwan.
The statements in the press made by Bhatia seem to suggest that Taiwan should have closer ties to China. That "given the important role China plays in the East Asian economy, and given the integration of the East Asia economy that is ongoing, it's important that Taiwan not be economically isolated from developments in the rest of East Asia ... and cross-strait relations affect that."
His remarks were about Taiwan's need to move closer to China for its own interests as well as those of US companies with China exposure -- and that might help in getting a FTA agreement. He seems to believe that it is Taiwan's policies, not China's, that are preventing this from happening.
Setting aside the internal struggle within Taiwan on matters dealing with cross-strait issues and Taiwan's liberty, the suggestion is that Taiwan's industry, more closely tagged to China, would be better for the US. There may be some US companies that would like it, but it's doubtful that leaders responsible for security -- in the US, Taiwan or other allies -- would agree.
The Taiwanese government has often called for dialogue with China to discuss the many practical issues that need to be addressed. The US government publicly encourages this.
It is still US policy that a change in Taiwan's relationship with China, such as that being suggested, would need the assent of the people of Taiwan.
Now that Taiwan has developed a sound economic basis to argue for a FTA, the USTR seems to think that Taiwan should cozy-up to China. That is close to a policy of no FTA until Taiwan is part of China (the price the PRC demands is that, ultimately, Taiwan must accept becoming a part of China). While most observers feel the US had never been interested in negotiating a FTA with Taiwan, few thought it would come to this.
In the end, the price Taiwan would have to pay for agreeing to an FTA, as suggested by the USTR, would be beyond what a free country finds acceptable. A Taiwan that can help the region maintain its economic and political liberties, might convince US businesses that the price would be too high even for them.
Nat Bellocchi is a former chairman of the American Institute in Taiwan and is now a special adviser to the Liberty Times Group. The views expressed in this article are his own.
Congressman Mike Gallagher (R-WI) and Congressman Raja Krishnamoorthi (D-IL) led a bipartisan delegation to Taiwan in late February. During their various meetings with Taiwan’s leaders, this delegation never missed an opportunity to emphasize the strength of their cross-party consensus on issues relating to Taiwan and China. Gallagher and Krishnamoorthi are leaders of the House Select Committee on the Chinese Communist Party. Their instruction upon taking the reins of the committee was to preserve China issues as a last bastion of bipartisanship in an otherwise deeply divided Washington. They have largely upheld their pledge. But in doing so, they have performed the
It is well known that Chinese President Xi Jinping’s (習近平) ambition is to rejuvenate the Chinese nation by unification of Taiwan, either peacefully or by force. The peaceful option has virtually gone out of the window with the last presidential elections in Taiwan. Taiwanese, especially the youth, are resolved not to be part of China. With time, this resolve has grown politically stronger. It leaves China with reunification by force as the default option. Everyone tells me how and when mighty China would invade and overpower tiny Taiwan. However, I have rarely been told that Taiwan could be defended to
It should have been Maestro’s night. It is hard to envision a film more Oscar-friendly than Bradley Cooper’s exploration of the life and loves of famed conductor and composer Leonard Bernstein. It was a prestige biopic, a longtime route to acting trophies and more (see Darkest Hour, Lincoln, and Milk). The film was a music biopic, a subgenre with an even richer history of award-winning films such as Ray, Walk the Line and Bohemian Rhapsody. What is more, it was the passion project of cowriter, producer, director and actor Bradley Cooper. That is the kind of multitasking -for-his-art overachievement that Oscar
Chinese villages are being built in the disputed zone between Bhutan and China. Last month, Chinese settlers, holding photographs of Chinese President Xi Jinping (習近平), moved into their new homes on land that was not Xi’s to give. These residents are part of the Chinese government’s resettlement program, relocating Tibetan families into the territory China claims. China shares land borders with 15 countries and sea borders with eight, and is involved in many disputes. Land disputes include the ones with Bhutan (Doklam plateau), India (Arunachal Pradesh, Aksai Chin) and Nepal (near Dolakha and Solukhumbu districts). Maritime disputes in the South China