Taiwan Authorities Urged to Make Progress on 'One-China' Principle
 
Taiwan's Chen Shui-bian is expected to come under increasing pressure to make progress with the mainland on the "one-China" principle, following recommendations from a high-powered advisory body he appointed.

The advice includes the abolition of Taipei's long-standing "go slow, be patient" policy, which discourages large-scale investment on the mainland, and lifting the 52-year-old ban on direct commercial and transport links.

It also calls on Chen to act as fast as possible to forge a consensus on the "one-China" principle so negotiations with Beijing - necessary for cross-strait links to begin - can resume.

The recommendations come from a seven-member economic development advisory taskforce charged with reviewing cross-Straits economic policy.

Chen, who told the taskforce to find ways to boost Taiwan's faltering economy, has promised to implement the recommendations after a final report is submitted later this month.

Most members favour returning to an informal consensus, reached between Taipei and Beijing in 1992, which had both sides recognise the "one China" principle.

Sunday's meeting of the economic policy taskforce was also significant for its recommendation that Taipei abandon its "go slow, be patient" policy discouraging large investments on the mainland by Taiwanese companies.

Under the policy, Taipei discourages firms from making large investments in sensitive sectors, such as hi-tech manufacturing, or from undertaking individual investment ventures exceeding US$50 million .

Taipei's new policy, according to the advisers' recommendations, is to be dubbed "active opening up, effective management". It will gradually allow more imports from the mainland.

The body recommends investments from the mainland be permitted in Taiwan, with mainland tourists allowed to visit the island.

The plan also called Taiwan authorities to lift the ban on direct cross-Straits commerce and transport. It calls for direct commercial links, including direct cross-Straits bank remittances, and to allow banks from both sides to open branches in other's territory.

It also urges Taiwan authorities to enter into negotiations with Beijing to open direct shipping and aviation links as soon as possible.

But all these can be realized only when Chen recognises the "one-China" principle as the basis for future cross-strait dialogue.

Chen has been under increased pressure as Taiwan's economy has faltered since he "took office" in May last year. Unemployment is at a 20-year high and share prices have lost more than half their value.

(Agencies 08/13/2001)