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KMT unveils optimistic cure-all plan

"Let's work together to rescue Taiwan's economy and put aside the ideological disputes and the empty, useless slogans."

Lien Chan, KMT chairman

As part of its proposed solution for Taiwan's economic problems, the KMT yesterday urged the DPP government to try and sign a 50-year peace treaty with China and open up direct cross-strait shipping as soon as possible to stimulate the country's economic development.

The "solutions" were raised in a report presented by Chiang Pin-kung (江丙坤), former chairman of the Cabinet's Council for Economic Planning and Development, at a weekly meeting of the KMT's Central Standing Committee. Chiang currently serves as vice speaker of the Legislative Yuan and is a member of the committee.

KMT Chairman Lien Chan (連戰) said that by publicizing the report, the KMT is trying to share its experience and resources in tackling Taiwan's economic problems.

"Let's work together to rescue Taiwan's economy and put aside the ideological disputes and the empty, useless slogans," Lien said.

According to Chiang, to cope with the rise of China as the world's factory, Taiwan can play the role of a staging post for multinational enterprises, as a country that shares an identical language and culture with China.

Steps to achieve this goal include developing Taiwan into a high-tech island and a business operations hub in the Asia-Pacific region, Chiang said.

As cross-strait peace is crucial to economic development, Chiang proposed that the government seek to sign a peace treaty with China that will be good for 50 years.

Also, Chiang said, the government should lift its ban on direct cross-strait shipping as soon as possible, because the availability of direct shipping between Taiwan and China is an essential part of Taiwan's plan to become a regional business-operations hub.

Before the ban is lifted, the government should expand the functions of the Kaohsiung Offshore Transshipment Zone (境外航運中心) and allow Chinese commodities to come in and out of Taiwan freely so as to keep the roots of Taiwanese businesses in Taiwan, Chiang said.

As Taiwan businesses move their production bases to China, Taiwan should work to transfer the research-and-development of high-tech industries like Silicon Valley and Japan to Taiwan, he said.

Other measures proposed by Chiang to revitalize the economy include promoting large-scale investment projects in traditional industries, raising the loans for small and medium businesses and encouraging industrial technology research institutes to set up bases in southern Taiwan.

Kao Chin-yen (高清愿), chief executive officer of the President Group and a member of the KMT's Central Standing Committee, praised Chiang's report as a practical blueprint for Taiwan's economic development, which he said can be a useful reference for the DPP government.

Kao criticized President Chen Shui-bian (陳水扁) for delaying his promise to open up direct cross-strait shipping, saying that limiting the "mini three links" to certain ports makes the concept "totally meaningless."

Kao said he can guarantee that Taiwan's per capita income will reach between US$25,000 and US$30,000 if Taiwan and China can put aside political differences for 50 years and cooperate to develop their economies.
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