The Taiwan Strait Issue

The author of this article is Philip Courtenay, retired Professor and Rector of the Cairns Campus of James Cook Univeristy

The Taiwan Strait is commonly seen as the location with the most likely potential for international armed conflict in the Asia-Pacific region. Early in his presidency, George Bush raised tensions with China over Taiwan, not least by his statement that the USA will "do whatever it takes to protect Taiwan". Taiwan, formerly known as Formosa from its Portuguese description (Ilha Formosa – the beautiful island), is about the same size as the Netherlands (36,000 sq km). It lies across the Tropic of Cancer some 150 km off the coast of mainland China (about half the distance of Tasmania from the Australian mainland) and if located in the southern hemisphere would fit between Mackay and Bundaberg in Queensland.

Taiwan is known domestically as the Republic of China (ROC) and identifies itself as the legal successor of the republic established on the mainland by Sun Yat-sen following the overthrow of the Manchu (Xing) dynasty in 1911. Its present government structure was set up by Chiang Kai-shek when, accompanied by nearly two million troops, officials and others, he fled from Mao Zedong's final conquest of the mainland in 1949. China has never accepted Taiwan's existence as a separate legal political entity and views it as a renegade province that should be re-united with the mainland. The People's Republic (PRC) was acknowledged internationally as the de jure government of China in 1971 when it took over the United Nations seat previously occupied by the exiled regime on Taiwan which ‘inherited' it from the pre-Communist regime on the mainland.

In international parlance, Taiwan's official designation is Chinese Taipei and it is a member of very few international bodies, the most significant being the Asia Pacific Economic Co-operation forum (APEC) and the Asian Development Bank (ADB). It is anticipated that it will become a member of the World Trade Organisation (WTO) following the accession to that body of the PRC which, by agreement, must precede Taiwan's membership.

Australia established formal diplomatic relations with the PRC in 1973 and the USA did so only in 1979. Only 28 states, almost entirely small countries in Africa, the Pacific, and Central America and the West Indies currently retain diplomatic relations with Taiwan. The links generally provide considerable aid benefits for the territories including government measures which encourage Taiwan businesses to invest in countries that maintain diplomatic ties with the ROC.

Between 1949 and 2000 Taiwan was ruled by the Guomindang – Kuomintang (KMT) in the older Wade-Giles transliteration of Chinese still used in Taiwan – the party of Chiang Kai-shek. Under the autocratic rule of the KMT, and in the face of a constant threat of invasion from across the strait, Taiwan underwent rapid, sometimes termed ‘miraculous', economic development. This rule was autocratic but slowly democratised under Chiang's successors until, in the free presidential elections of May 2000, the KMT candidate was defeated and the present president, Chen Shui-ban of the Democratic Progress Party, was returned. Chen was known to be sympathetic to the formal establishment of an independent Taiwan and the PRC undertook military exercises in the Taiwan Strait during the elections in an attempt to discourage his support.

Since being in office, however, President Chen Shui-bian has manoeuvred successfully in avoiding a cross-strait crisis, maintained a low-key approach to the recent tensions in US-China relations and appears more interested in moving towards closer economic co-operation with the mainland while leaving political changes well into the future.

Many mainland Chinese strategists believe that, on one hand, the USA is concerned about the long-term strategic implications of a rapidly rising China but, on the other, prefers stability in East Asia and US-China relations. Clearly both China and the USA stand to benefit, both economically and strategically, from such stability. With a steady relationship with the USA, China will have more breathing space to concentrate on its pressing domestic reforms whilst hoping that the USA may eventually treat China as a major strategic stabiliser in East Asia.

It is in the interests of neither of the two major powers, nor indeed for Taiwan itself, to let a push for independence get out of hand and it is to be hoped that the Bush administration will play down its recent tendency towards hawkishness over the Taiwan issue. A controlled diplomatic approach to the world's most populous nation as it reforms and expands its economy is more likely to encourage it to improve its governance, including a move towards a more democratic system. In the long run this may also go far in contributing to a solution of the re-unification problem across the narrow strait.

Last updated 2 October 2006. For more information email admin@rgsq.org.au
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