Congressman Mark Kennedy and Foreign Minister Chen

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E.O. 12958: N/A
TAGS: OREP PGOV PINS PREL MASS ETRD EINV CH TW
SUBJECT: Congressman Mark Kennedy and Foreign Minister Chen
Discuss Special Military Budget and Economic Issues


1. (SBU) Congressman Mark Kennedy from Minnesota's Sixth
District met with Taiwan Foreign Minister Mark Chen (Chen
Tan-sun) June 5 during a two-day trip to Taiwan, covering
many of the same issues he discussed with President Chen and
Legislative Yuan Chairman Wang Jin-pyng (reported septels).
Congressman Kennedy praised Taiwan for reopening its beef
market to U.S. imports and progress on the protection of
intellectual property. He urged Taiwan to continue to
maintain and expand market access for U.S. goods, especially
medical products, in which Minnesota is particularly
competitive. He suggested Taiwan could look to the
Netherlands, which serves as a gateway to Europe for many
U.S. firms, as a model for Taiwan in Greater China. He
commented that Taiwan should relax unnecessary restrictions
on businesses to capitalize on its advantages as a place for
U.S. businesses to operate. As examples of these types of
regulations, he cited restrictions on the employment of
foreign interns and limits on cross-Strait investment for
firms based in Taiwan. Chen, in turn, asked Congressman
Kennedy to support a free trade agreement with Taiwan.
Congressman Kennedy affirmed his support for advancing trade
but noted the political sensitivities in the U.S.
surrounding free trade agreements.


2. (SBU) Congressman Kennedy also told Chen that passage of
the Special Defense Procurement Budget was important to the
United States. He noted that Japan pays for 85 percent of
the costs of U.S. forces based in Japan and that South Korea
pays for 40 percent of the costs of U.S. troops there. He
asked that Taiwan not take the U.S. for granted and invest
in its own defense. Chen assured Congressman Kennedy that
this issue was at the top of President Chen's agenda and
that both the President and Minister of National Defense
were working hard to get the Special Budget passed by the
Legislative Yuan. He noted that the Minister of National
Defense had said he would resign if the bill were not
passed. Chen pledged to do his own part in public
appearances to promote the bill. He offered that Taiwan
would be willing to reimburse costs for U.S. troops based in
Taiwan. Congressman Kennedy indicated that passage of the
Special Budget would be enough.


3. (U) Congressman Kennedy's office has cleared this
message.

PAAL