A new study published this week by Foreign Policy magazine concludes that Taiwan remains the one place in the world where China and the US “could conceivably come into direct conflict.”
Drew Thompson, director of China studies at the Nixon Center in Washington and author of the study, wrote: “Some wonder whether China and the United States are on a collision course. Unquestionably, there is deep strategic mistrust between the two countries. China’s rapid economic growth, steady military modernization and relentless nationalistic propaganda at home are shaping Chinese public expectations and limiting possibilities for compromise with other powers.”
However, Thompson also makes clear in the study that while conflict is not inevitable, it is cause for long-term concern.
Taiwan is “an obvious point of disagreement,” he wrote, but there is a growing recognition that the US and China “should engage one another and seek to avoid a conflict that would almost certainly be destructive to both sides.”
The study comes in the wake of Washington’s decision to sell a new US$6.4 billion arms package to Taiwan and just as the administration of US President Barack Obama is believed to be seriously considering the sale of F-16C/D fighters to Taipei.
Thompson said China conducted another anti-missile test last month shortly after the US announced arms sales to Taiwan. At the same time, China’s leaders vehemently denounced any suggestion that they were embarking on anything other than what they have referred to as a “peaceful rise.”
“But they also don’t explain why they are investing so heavily in this new arms race,” he said.
“Taiwan, long claimed as Chinese territory and well within range of Chinese ballistic missiles and conventional forces, certainly has cause to feel threatened. Even as cross-strait relations have warmed in recent years, Beijing has positioned more medium-range missiles facing Taiwan than ever. When asked why, Beijing demurs,” he said.
The study said that Chinese military leaders have focused on preparing their armed forces to fight a limited war over Taiwan “fully expecting that the United States would enter the conflict.”
“Many weapons systems the PLA [People’s Liberation Army] acquired or developed, as well as the exercises it trained for, were largely aimed at fighting a technologically superior enemy — with particular emphasis on developing tactics to keep the United States from bringing naval assets to China’s shores,” it said.
“Although simulating a Chinese D-Day on Taiwan might be a tidy demonstration of the PLA’s core mission, the armed forces today are developing capabilities and doctrine that will eventually enable them to protect China’s expanding global interests,” it said.
It added that the PLA’s Second Artillery Corps and science-and-technology units are increasingly capable of space and cyberspace operations, and they have honed the ability to launch and operate satellites to improve communications and intelligence collection.
“Perhaps a generation from now, Chinese military planners might be strategizing more openly about how to acquire overseas basing rights and agreements with allies where they might station their forces abroad. But with China, that process has not begun in earnest. At least, not for now,” Thompson said.
The Legislative Yuan’s Finance Committee yesterday approved proposed amendments to the Amusement Tax Act (娛樂稅法) that would abolish taxes on films, cultural activities and competitive sporting events, retaining the fee only for dance halls and golf courses. The proposed changes would set the maximum tax rate for dance halls and golf courses at 50 and 20 percent respectively, with local governments authorized to suspend the levies. Article 2 of the act says that “amusement tax shall be levied on tickets sold or fees charged by amusement places, facilities or activities” in six categories: “Cinema; professional singing, story-telling, dancing, circus, magic show, acrobatics
Tainan, Taipei and New Taipei City recorded the highest fines nationwide for illegal accommodations in the first quarter of this year, with fines issued in the three cities each exceeding NT$7 million (US$220,639), Tourism Administration data showed. Among them, Taipei had the highest number of illegal short-term rental units, with 410. There were 3,280 legally registered hotels nationwide in the first quarter, down by 14 properties, or 0.43 percent, from a year earlier, likely indicating operators exiting the market, the agency said. However, the number of unregistered properties rose to 1,174, including 314 illegal hotels and 860 illegal short-term rental
INFLATION UP? The IMF said CPI would increase to 1.5 percent this year, while the DGBAS projected it would rise to 1.68 percent, with GDP per capita of US$44,181 The IMF projected Taiwan’s real GDP would grow 5.2 percent this year, up from its 2.1 percent outlook in January, despite fears of global economic disruptions sparked by the US-Iran conflict. Taiwan’s consumer price index (CPI) is projected to increase to 1.5 percent, while unemployment would be 3.4 percent, roughly in line with estimates for Asia as a whole, the international body wrote in its Global Economic Outlook Report published in the US on Monday. The figures are comparatively better than the IMF outlook for the rest of the world, which pegged real GDP growth at 3.1 percent, down from 3.3 percent
ECONOMIC COERCION: Such actions are often inconsistently applied, sometimes resumed, and sometimes just halted, the Presidential Office spokeswoman said The government backs healthy and orderly cross-strait exchanges, but such arrangements should not be made with political conditions attached and never be used as leverage for political maneuvering or partisan agendas, Presidential Office spokeswoman Karen Kuo (郭雅慧) said yesterday. Kuo made the remarks after China earlier in the day announced 10 new “incentive measures” for Taiwan, following a landmark meeting between Chinese President Xi Jinping (習近平) and Chinese Nationalist Party (KMT) Chairwoman Cheng Li-wun (鄭麗文) in Beijing on Friday. The measures, unveiled by China’s Xinhua news agency, include plans to resume individual travel by residents of Shanghai and China’s Fujian