Taiwan/China

Historic agreements signed, opposition protests

Article published on the 2008-11-04 Latest update 2008-11-04 15:38 TU

Anti-China protesters clash with police
(Photo: Reuters)

Taiwan and China on Tuesday signed four ageements that could mean billions of dollars of business, after talks that marked a further step forward in bilateral relations. Many businesses were enthusiastic about the historic advance in relations with the mainland but opposition supporters protested about the meeting.

The two sides agreed to introduce direct cargo shipping and postal services, to add passenger flights and shorten existing routes, and to discuss food security, in the wake of scandals involving poisonous Chinese food imports.

Tourism and measures to fend off the global financial crisis also featured in the discussion between Beijing's envoy Chen Yunlin, head of China's Association for Relations Across the Taiwan Strait, and Chiang Pin-kung, his local counterpart as head of the Strait Exchange Foundation.

Taiwanese investment in the People's Republic is estimated at over 115 billion euros since the 1990s and is likely to increase after the latest agreements. Currently flights between the two territories must pass through foreign airspace, while ships must go through another country's waters.

The Kuomintang government of President Ma Ying-jeou was elected this year on a platform of closer ties with the mainland.

Former President Chen Shui-bian, of the Democratic Progressive Party, on Tuesday demanded an official investigation into Ma and Beijing's envoy, Chen, for sedition, on the grounds that the People's Republic is Taiwan's "enemy".

Ma is under pressure not to be seen to be betraying the cause of Taiwan, says Hong Kong-based analyst Joseph Cheng. "However, given the economic difficulties in Taiwan, especially after the present financial tsunami, people in Taiwan in general welcome improvement in economic ties across the Taiwan Strait as a boost to the economy of the island."