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05TAIPEI4571 2005-11-14 23:06:00 UNCLASSIFIED American Institute Taiwan, Taipei
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					UNCLAS SECTION 01 OF 02 TAIPEI 004571 



E.O. 12958: N/A

1. Summary: Major Chinese-language newspapers focused their
coverage November 11-14 on Taiwan's upcoming 3-in-1
elections; the Presidential Office's probe into its former
Deputy Secretary-General Chen Che-nan's misconduct; the
Examination Yuan's decision to reduce pension payments to
civil servants, teachers, and servicemen; and the annual
Golden Horse Award, Taiwan's premier film award. The pro-
independence "Taiwan Daily" ran a banner headline on its
page two November 12 edition that read: "Bian Hopes [Taiwan
Will] Have a New President and a New Constitution in 2008."
The sub-headline added: "[President Chen Shui-bian] Hopes
the New Constitution Will Clearly State that `Taiwan is
Taiwan and not a Part of China' and Will Hand the Right to
Amend the Constitution Back to the People of Taiwan."

Several newspapers on November 12 also carried in their
inside pages a press briefing held by the Washington D.C.
Foreign Press Center last Thursday, in which a senior U.S.
official urged China to have a dialogue with Taiwan's duly-
elected government.

2. While most Taiwan newspapers continued to editorialize on
local scandals November 11-14, Washington correspondent
Nadia Tsao commented on U.S.-China relations in a news
analysis in the pro-independence "Liberty Times." Tsao said
Washington-Beijing ties are full of hidden reefs, and
Washington's concerns over China's military development go
beyond [China's threat to] cross Strait stability. An
editorial in the limited-circulation, conservative, pro-
unification, English-language "China Post" discussed Chinese
President Hu Jintao's diplomatic forays, saying China is
endeavoring to become a major player in the world arena.
End summary.

A) "U.S.-China Relations Full of Hidden Reefs"

Washington correspondent Nadia Tsao said in a news analysis
in the pro-independence "Liberty Times" [circulation:
600,000] (11/12):

"Chinese President Hu Jintao changed China's `peaceful
rising' into China's `peaceful development' during his
meeting with U.S. President George W. Bush at the UN General
Assembly in September. But judging from the fact that prior
to his [November] visit to Beijing, Bush used words such as
`complicated' and `mixed' to describe Washington-Beijing
relations and his reiteration to Chinese leaders that the
United States supports the Taiwan Relations Act, [it is
evident that] there are hidden reefs everywhere in U.S.-
China relations. .

"As a matter of fact, Washington's concerns over China's
military development go beyond [China's threat to] cross
Strait stability [sic]. Defense Secretary Donald Rumsfeld
paid a special visit to Mongolia when he traveled to Asia
last month, and Bush will be the first U.S. president to
visit Mongolia during his term of office. [Washington's]
intention to curb China strategically is very clear. .

"China's competition for energy, [its influential role in]
the North Korean nuclear issue, as well as its push into
Latin America and Africa, have aroused concerns from the
U.S. Congress. Over the past two or three years, Washington
has failed to heed China's role in global affairs, but it
woke up suddenly to find China all over its radar screen and
has started to pay attention to China's presence. Under
such a circumstance and given the complicated and entangled
economic issues [to be discussed] between the two countries,
Bush's upcoming trip to Beijing and his dialogue with his
Chinese counterpart will certainly not be an easy job."

B) "Hu's Diplomatic Forays"

The conservative, pro-unification, English-language "China
Post" [circulation: 30,000] wrote in an editorial (11/12):

"Mainland Chinese leader Hu Jintao has been busy, making
diplomatic forays to capitals all over the world. This is a
far cry from his predecessors, who preferred to stay at
home. The enigmatic Chinese president is now quite
ubiquitous, rubbing shoulders with leaders of the world's
richest as well as poorest nations. .

"Call it an `all-dimensional diplomacy' if you want. It is
indeed an all-out diplomatic campaign to establish mainland
China as an emerging political power in addition to an
economic power. It is not only the leader of the developing
world. It is endeavoring to become a major player in the
world arena. Are his efforts paying off? Yes, so far. .

"His visit to Pyongyang last month was instrumental in the
resumption of the six-party talks on Kim Jong Il's nuclear
weapons programs. Washington, for one, should feel indebted
to Beijing for twisting the arm of North Korea to bring it
to the conference table. Beijing is the only country that
wields real influence over this `evil axis' that dared to
call Washington's bluff. .

"But developed countries are also wooing mainland China and
welcoming Hu with open arms. . No EU country can afford to
ignore the mainland's huge market and insatiable appetite
for European high-tech products such as commercial aircraft
and high-speed trains. ."