MEDIA REACTION: KMT-CCP ECONOMIC FORUM

UNCLAS AIT TAIPEI 001333

SIPDIS

DEPARTMENT FOR INR/R/MR, EAP/TC, EAP/PA, EAP/PD - ERIC BARBORIAK
DEPARTMENT PASS AIT/WASHINGTON

SIPDIS

E.O. 12958: N/A


TAGS: OPRC KMDR KPAO TW
SUBJECT: MEDIA REACTION: KMT-CCP ECONOMIC FORUM



1. Summary: Taiwan's major Chinese-language dailies gave significant
coverage April 15-17 to the KMT-Chinese Communist Party (CCP)
Economic Forum held in Beijing over the weekend, and the meeting
between KMT Honorary Chairman Lien Chan and Chinese President Hu
Jintao Sunday. Coverage also focused on the controversial gift
vouchers to the SOGO Department Store, which President Chen
Shui-bian and his family were allegedly related to; and the year-end
Taipei and Kaohsiung mayoral race. The pro-independence "Liberty
Times," Taiwan's biggest daily, ran a banner headline on its page
two April 17 that said: "Lien, Hu Meet for the Second Time; [Both]
Talk about One China But Not 'Different Interpretations [of the One
China Principle]." The pro-independence "Taiwan Daily" also ran a
banner headline on its page three April 17 that read: "Undaunted by
China's Approaching Threats, the Pro-Independence Activists Urge
[Taiwan] to Move Forward." The pro-unification "United Daily News,"
however, ran a banner headline on its page three April 16 that said:
"Layer by Layer and With Means Both Heavy and Light, Beijing Is
Knocking down the Taiwan Independence Barriers." The pro-status quo
"China Times" ran an exclusive front-page news story April 17 that
quoted former Mainland Affairs Council Chairman Chen Ming-tong as
saying that a delegation authorized by the Taiwan government went to
Beijing for secret negotiations on direct charter flights between
April 8 and April 10 before the Lien-Hu meeting Sunday.


2. In terms of editorials and commentaries, editorials of the
pro-independence "Liberty Times," "Taiwan Daily," the
limited-circulation, English-language "Taipei Times" and "Taiwan
News" all called the incentives proposed by Beijing during the
KMT-CCP economic forum united-front measures aimed at belittling
Taiwan's sovereignty. A "China Times" editorial urged the ruling
DPP to pragmatically cope with the new changes with regard to
cross-Strait relations. A "United Daily News" news analysis said
Beijing has released comprehensive and consistent messages with
regard to cross-Strait relations and is waiting for Washington's
final endorsement - namely, the U.S.-China summit slated for April

20. End summary.

A) "Lien Chan Will Become the One Who Has Rendered Outstanding
Service for 'Pushing for [Cross-Strait] Unification and Jeopardizing
Taiwan'"

The pro-unification "Liberty Times" [circulation: 600,000]
editorialized (4/17):

"... The united-front measures proposed by China [during the KMT-CCP
economic forum] this time were basically of the same type as those
proposed at the Lien-Hu meeting last year. That is, they were made
in an attempt to cause Taiwan people's national identity to waver
and create the illusion that Taiwan's economic prosperity must
depend on China. ... [The fruit of] Taiwan's economic developments
must be shared by all the Taiwan people. The so-called investments
in China only help to push for China's economic growth and create
job opportunities in China; they may have contributed to the
interests of those who cling on to China, but surely such moves will
hollow Taiwan's industries and thus generate many social problems
derived from high unemployment rates. ..."

B) "The KMT-CCP Economic Forum, Which Joins Internal and External
Forces in an Attempt to Befriend the [Taiwan] Public, Is a
Sugarcoated Trap to Belittle Taiwan's Sovereignty and Bypass the
Taiwan Government"

The pro-independence "Taiwan Daily" [circulation: 100,000]
editorialized (4/17):

"The series of measures announced by Beijing [during the KMT-CCP
economic forum] were united-front tactics in order to befriend and
attract the Taiwan public. The Taiwan government must first do a
thorough assessment of these measures, and then it should announce
implementation of those measures that are good for Taiwan's public
welfare and harmless for Taiwan's sovereignty. As for those
ill-intentioned measures that are secretly aimed at sabotaging
Taiwan's sovereignty or Taiwan-centered values, the government
should also explain to its people why it cannot accept them. ..."

C) "Lien Visit Hype Unwarranted"

The pro-independence, English-language "Taipei Times" [circulation:
30,000] commented in an editorial (4/16):

"The media coverage and public attention regarding the meeting
between Chinese President Hu Jintao and former Chinese Nationalist
Party (KMT) chairman Lien Chan and the economic and trade forum
between their parties is unwarranted. It is unlikely these events
will produce any significant breakthrough in cross-strait relations.
They should be considered primarily as a photo opportunity for the
retired Lien. ...

"As for the CCP-KMT forum, it is also not likely to lead to
anything. ... If none of these events managed to come up with any
innovative ideas to break the current impasse, it is unrealistic to
expect the CCP-KMT forum to be any different. Moreover, the
government here has already issued reminders that it will have to
approve any conclusions reached at the forum that touch on its
authority. Sure, Lien will be given VIP treatment by Beijing. But
that probably has more to do with China's intent to make the
Democratic Progressive Party government look bad."

D) "Hu and Lien Offer Taiwan a Devil's Bargain"

The pro-independence, English-language "Taiwan News" [circulation:
20,000] wrote in an editorial (4/17):

"... Taiwan's Democratic Progressive Party government does not need
to reject Beijing's offers out of hand, but, unlike the KMT, has the
responsibility to ensure that such carrots do not harm the long-term
national, economic and social interests of our people and do not
compromise our Taiwan-centric medium-and long-term development
goals. ... Last week's KMT-CCP economic forum and yesterday's
Hu-Lien meeting has thus had some positive significance in
clarifying for the Taiwan people the nature of the 'devil's bargain'
offered by Beijing and enthusiastically endorsed by the KMT.

"In exchange for the privilege of limited and fleeting prosperity
through becoming an economic appendage to the great Chinese market
and the highly uncertain peace under the domination of the PRC, the
Taiwan people only need relinquish their hard-won democracy and
their power to develop and implement our own Taiwan-centered global
economic strategy. ..."

E) "In Addition to Harsh Criticism, the Ruling Party Might as Well
Pragmatically Cope with the New Changing Situation"

The pro-status quo "China Times" [circulation: 400,000]
editorialized (4/17):

"... Without doubt, Beijing has its strategic goals: on the one
hand, its appeal for peace [across the Taiwan Strait] was meant for
Washington's eyes, which is getting ready for the upcoming meeting
between U.S. President George W. Bush and Chinese President Hu
Jintao. On the other hand, Beijing is also trying to create an
atmosphere that is favorable for the KMT to secure a victory in the
2008 presidential elections and to win the Taiwan people's support,
in an attempt to isolate the pan-Green camp. The top priority task
for the DPP now, as a responsible ruling party, is to proactively
... make a pragmatic assessment of the many incentives proposed by
Beijing. It should accommodate or even further proceed with those
measures if it finds them really beneficial for the Taiwan people.
... In addition to condemning [the KMT and CCP], the ruling party
might as well cope with the new situation with a more mature
attitude!"

F) "In Terms of Cross-Strait Relations, Beijing Releases Signals and
Awaits Endorsement from the United States"

Journalist Sun Yang-ming commented in the pro-unification "United
Daily News" [circulation: 400,000] (4/17):

"The second meeting between KMT Honorary Chairman Lien Chan and
Chinese President Hu Jintao just concluded. But what's more
important was that the Lien-Hu meeting was not simply a meeting but
a warm-up for the cross-Strait issues that will be discussed in the
U.S.-China summit in Washington four days from now. During his
meeting with Lien, Hu released comprehensive and consistent
messages, which are only waiting for the final endorsement of
Washington. ...

"Beijing did not mention at all the concept of 'unification' during
the Lien-Hu meeting, not even the 'modus vivendi' that [KMT
Chairman] Ma Ying-jeou proposed [when he visited the United States].
Beijing's purpose was to save unnecessary trouble [for the United
States] at this stage, not letting Washington be worried about its
unification request. ... Beijing, on the one hand, tried its best to
befriend the Taiwan people; on the other hand, it has demonstrated
for the sake of Hu's summit with U.S. President George W. Bush April
20, it can behave very rationally and maturely when it comes to
stabilizing cross-Strait relations. ..."

YOUNG