Progress Seen in Cross-strait Relations During APEC

APEC is an important forum for Taiwan’s participation in international affairs, and the APEC Economic Leaders’ Meeting (AELM) is especially noteworthy, as it provides a venue where Taiwan’s representative can exchange ideas with heads of state and top officials from other APEC member states.

This year’s APEC Economic Leaders’ Week activities were held in Bali, Indonesia, where participants issued Leaders’ Declarations on a variety of subjects, including: support for the multilateral trading system, with an eye to restarting the stalled Doha Round talks of the World Trade Organization; the need for a region-wide partnership to create jobs, reduce poverty, and improve living standards; and the need to strengthen high-quality regional transportation networks, reduce transaction costs, and make the region more competitive and cohesive.

A big breakthrough took place in cross-strait relations during the recent APEC meetings when former Vice President Vincent C. Siew met with mainland China’s President Xi Jinping.

This year marked the first time in attendance at the AELM for Xi Jin­ping, the new president of mainland China. At the cross-strait summit that Taiwan and the mainland now routinely hold during APEC, breakthroughs were achieved regarding the use of official titles and the choice of agencies responsible for arranging the meeting. The summit attracted close international scrutiny, and was seen as a trial balloon for the further direction of cross-strait ties.

For five consecutive years (2008–2012), Taiwan was represented at the AELM by Lien Chan, honorary KMT chairman and former vice president of the ROC, and Lien’s office was also in charge of preparations for the cross-strait summits held on the sidelines of APEC. This year, however, Taiwan was instead represented by former Vice President Vincent C. Siew, whose specialty is economic and trade matters, and the related preparations were handled by the Mainland Affairs Council.

At the meeting between Siew and Xi on October 6, the two addressed each other as “Mister,” and Siew put forward three scenarios he would like to see come about, directly raising specific and forward-looking ideas about the future direction of cross-strait ties and a timeframe for steps that might be taken. Xi, for his part, suggested that officials from the two sides could meet to discuss matters under their purview that need to be addressed. In so doing, he sent out an important message about possible reciprocal visits between officials from the two sides at some point in the future.

After the meeting, Wang Yu-chi (minister of Taiwan’s Mainland Affairs Council) and ­Zhang Zhi­jun (minister of the Taiwan Affairs Office of mainland China’s State Council) met with reporters and addressed each other as “Minister.” Addressing each other by their official titles marked a first for officials from the two sides. This development was every bit as significant as the ice-breaking Koo–Wang talks of 1993.

President Ma Ying-jeou praised the APEC delegation members for their hard work, and said that breakthroughs at APEC were made possible by his cross-strait relations policy of “mutual non-recognition of sovereignty and mutual non-­denial of authority to govern.” He added that this was an excellent first step toward normalization of interaction between officials on both sides of the Taiwan Strait, and an important milestone in the march toward institutionalization of cross-strait relations.

During the AELM Siew also met with Singapore Prime Minister Lee ­Hsien ­Loong and Mrs. Lee, as well as US Secretary of State John Kerry.

Siew and Lee discussed ongoing bilateral talks on the “Agreement between Singapore and the Separate Customs Territory of Taiwan, ­Penghu, Kin­men and Ma­tsu on Economic Partnership” (ASTEP). Lee said negotiations were heading into the final stretch, and a place and time for signing the pact would be finalized soon.

Minister of Economic Affairs ­Chang Chia-juch remarked that Singapore has completed its review of the text of the agreement, and the two sides will make every effort to get it signed by the end of the year.

Speaking on his meeting with John Kerry, Siew said that the two focused especially on how to promote substantive bilateral ties. Siew told Kerry that Taiwan hopes the two sides can take a “building block” approach in working toward the signing of a free trade agreement, and expressed Taiwan’s desire to join the Trans-Pacific Partnership (TPP) as soon as possible. Kerry stated that the US fully understands Taiwan's wishes and efforts, and said that the US views the matter positively.

In the face of globalization and regional integration, countries throughout the world share the common goal of striking a proper balance between politics and economic matters.

APEC has an important role to play in the integration of Taiwan into the regional economy, as does the 9th WTO Ministerial Conference to be held in December in Bali.

After returning to Taiwan, Siew stated that participants at the ministerial conference will conduct a critical assessment of the achievements of the Doha Round, so in preparation for the ministerial conference, the leaders at the AELM put forward a “Bali package” of deliverables that can hopefully be adopted at the conference to further the cause of trade liberalization. Taiwan is a member of the WTO, and would benefit equally from success in the year-end negotiations.

Siew stated that President Ma was quite correct when he stressed in his National Day Address that Taiwan needs to move toward its goal of becoming a “free economic island.” The APEC meetings, said Siew, help to improve Taiwan’s economic and trade ties with mainland China and other key trading partners, and afford an opportunity for Taiwan to show its resolve to promote trade liberalization.

Having returned to the APEC meetings after an absence of two decades, Siew notes that the Asia–­Pacific region has become a primary engine of economic growth for the entire world, and the evident determination of APEC members to liberalize their economies is Taiwan’s biggest takeaway from the APEC gathering.