President Chen

D PP candidate Chen Shui-bian (陳水扁) walked away with a stunning victory over his rivals in yesterday's presidential elections in Taiwan -- just the second in its history -- in what ended up as a two-way race against independent candidate James Soong (宋楚瑜).

The election win, which reverberated around the world amid threats of military action from China, was received with reservation by the US and Britain, who urged a return to peaceful dialogue across the Taiwan Strait.

The Chinese government was muted in its own response, saying the election results did nothing to change Taiwan's status as a local government of China.

In Taipei, the official news of the win was made in a matter-of-fact statement by the Central Election Commission (CEC).

"The trend cannot be reversed. Chen Shui-bian has been elected," said CEC official Yu Ming-hsien.

Chen received a total of 4,977,737 ballots, or 39.3 percent of the popular vote, with Soong taking a 36.8 percent cut with 4,664,932 votes, according to official statistics.

The KMT's Lien Chan (連戰), groomed to succeed outgoing president Lee Teng-hui (李登輝), lagged behind in a humiliating third place, receiving just 2,925,513 -- or 23 percent -- of the vote.

The historic win by Chen will also put an end to more than 54 years of rule by the KMT on Taiwan.

The victory comes as a triumphant redemption for Chen, who lost his bid to hold onto the Taipei mayorship in December 1998 in a similarly heated race against the KMT.

The scene in front of Chen's campaign headquarters in Taipei was electric last night, as tens of thousands of supporters cheered, set off air horns and fireworks -- a scene that was mirrored in spontaneous parties around the country that lasted into the small hours.

Election results were displayed on a gigantic video screen in front of the campaign headquarters.

Chen, along with vice president-elect Annette Lu (呂秀蓮), later appeared in front of tens of thousands of near-delirious supporters, who shouted "Go! Go! Go! Taiwan is a treasured island!" with a steady backbeat of drumming.

"It's a sacred moment in Taiwan's history," Chen said. "We have overcome darkness and fear with love and hope. People showed their determination to support democracy by their votes."

"It's not a victory for myself and Annette Lu, or the DPP; it's is a victory for people of Taiwan and for democracy," Chen said.

DPP campaign official You Ying-lung (游盈隆), told the crowd earlier that Taiwanese had ``a great, unprecedented victory.''

In his victory speech, Chen also reiterated plans to begin talks on liberalizing the so-called "three links" with China, as well as his willingness to travel to China before his inauguration.

In, the end, however, he focused on what the win meant to his 14 year-old opposition party.

``We have realized our forefathers' dreams for democracy. Taiwan shall have its first peaceful transfer of power,'' he said.

Chen said he had already asked Academia Sinica President Lee Yuan-tseh to form a new cabinet as his premier.

The Nobel laureate departed on a conference trip to the United States shortly after the results of the election became known.

"I believe Lee will have plenty of time to consider ... and will make a final decision," Chen said.

Lee last week announced his intention to resign from his Academia Sinica post, to show his full support for Chen.