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Hu dangles trade carrot at Taiwan

The Chinese president dangled the carrot of a booming economy at a forum on China-Taiwan business ties yesterday in Beijing's latest attempt to win hearts in Taiwan.

Chinese President Hu Jintao (胡錦濤) told the roughly 500 delegates, including former Chinese Nationalist Party (KMT) chairman Lien Chan (連戰), that the country offered boundless economic opportunities.

"We sincerely hope the compatriots across the strait will closely join hands to push forward the personal, economic and cultural exchanges to curb Taiwanese independence activities and maintain peace across the Taiwan Strait," Hu said.

"At present, the mainland's economy is developing powerfully, which creates more space, more motivation and even more superior conditions for cross-strait economic cooperation," he said as Lien stood beside him.

Hu and Lien were shown shaking hands warmly and chatting before the start of the event.

The Cross-Strait Economic and Trade Forum, jointly arranged by the KMT and the Chinese Communist Party in Beijing, discussed how to boost exchanges between China and Taiwan.

Taiwanese investors have poured up to US$100 billion into China over the last two decades, lured by a common language and culture as well as low labor costs.

The Xinhua news agency said they would discuss possible direct travel links between Taiwan and China.

Taiwan bars most direct airline flights and shipping for fear its giant neighbor could use them as cover for an invasion.

"Practice has shown that the separation causes harm to both sides and unification brings a win-win situation," Hu said. "We should curb the Taiwanese secessionist forces so as to maintain peace across the Taiwan Strait."

Lien said the two sides should put aside decades of confrontation and start talking.

"The mainland is today open to the entire world, but cross-strait relations, for reasons which everyone are familiar with, hesitate to move forward," he said.

Neither Hu nor Lien mentioned the flap over the Olympic torch.

The KMT hopes trade and tourism deals clinched at the Beijing forum will help its chances of winning parliamentary elections in December and presidential elections next March.

Meanwhile in Taipei, Mainland Affairs Council Vice Chairman Tung Chen-yuan (童振源) said yesterday the government would not interfere in civic exchanges between the two sides of the Taiwan Strait, but insisted that such exchanges be conducted under the law and that issues involving public rights and power be dealt with by the government.

Commenting on the event, Tung said the conclusions from the forum would serve as nothing but a channel of propaganda for the KMT and Beijing, adding that Beijing often takes advantage of the forum to sow dissent in Taiwan.

Additional reporting by Staff Writer
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