Identifier
Created
Classification
Origin
06AITTAIPEI3979
2006-11-28 09:23:00
UNCLASSIFIED
American Institute Taiwan, Taipei
Cable title:  

MEDIA REACTION: U.S.-CHINA-TAIWAN

Tags:  OPRC KMDR KPAO TW 
pdf how-to read a cable
VZCZCXYZ0009
RR RUEHWEB

DE RUEHIN #3979 3320923
ZNR UUUUU ZZH

R 280923Z NOV 06
FM AIT TAIPEI
TO RUEHC/SECSTATE WASHDC 3211
INFO RUEHBJ/AMEMBASSY BEIJING 6000
RUEHHK/AMCONSUL HONG KONG 7224
UNCLAS AIT TAIPEI 003979

SIPDIS

DEPARTMENT FOR INR/R/MR, EAP/TC, EAP/PA, EAP/PD - DAVID FIRESTEIN
DEPARTMENT PASS AIT/WASHINGTON

SIPDIS

E.O. 12958: N/A
TAGS: OPRC KMDR KPAO TW
SUBJECT: MEDIA REACTION: U.S.-CHINA-TAIWAN


Summary: Taiwan's major dailies November 28 focused on a meeting of
six high-ranking prosecutors, in which they reached an agreement
that prosecutors will apply regulations loosely in investigations of
special allowance cases. The other major focus is the rise of the
TAIEX stock index, which closed at 7,498 points on Monday, up 0.95
percent and at its highest level in more than six years, after a
private equity consortium led by the Carlyle Group said it was
planning to make a US$5.5 billion bid for Advanced Semiconductor
Engineering.

In terms of editorials and commentaries, the English-language,
pro-independence "Taiwan News" editorialized that since Central
American governments cannot ignore Washington's attitude toward
China's expanding presence in Latin America as well as the
importance of the U.S.-promoted Central American Free Trade
Agreement (CAFTA),there is room for Taiwan to lobby the U.S. to
improve economic attractiveness of such schemes as CAFTA and thus
undermine efforts by China to position itself as an alternate
economic pole in the region. End summary.

A) "Respond Positively to Ortega's Victory"

The pro-independence, English-language, "Taiwan News" [circulation:
20,000] editorialized (11/28):

"Speculation in the media has been rife that Nicaragua's left-wing
president-elect Daniel Ortega, who was elected with a 38.7 percent
plurality, would shift Managua's ties from Taiwan and establish
diplomatic relations with the People's Republic of China.

"Such speculation was grounded in both the long-term 'revolutionary'
relations between Ortega's Sandinista National Liberation Front and
Beijing's ruling Chinese Communist Party as well as the rise of
China's economic and political influence in Latin America and
globally.

"Ties between Taiwan and most of its Central American allies have
their roots in Cold War 'anti-communist' alliances sponsored by the
United States when Washington enlisted the authoritarian and (at
that time) rabidly anti-Communist Kuomintang regime as an ally
against numerous movements for social justice and national
liberation in the region. ...

"... In the wake of the end of the Cold War, Taiwan shifted to focus
on "money diplomacy" through direct assistance and support for
Taiwanese investors in the region. ...

"... However, the intensifying economic and political clout of the
PRC is clearly capturing attention among media, politicians and
business executives in Nicaragua and other Central American nations.


"... In terms of 'money diplomacy' or official assistance or
resources investment, Beijing now can outbid Taipei, whose
Democratic Progressive Party government under President Chen
Shui-bian has at least officially foresworn 'checkbook diplomacy'
and is in practice hamstrung by the Legislature.

"... [T]he rapid rise of bilateral trade between the PRC and Central
American nations is fostering greater economic interdependence. When
combined with the PRC's domination of political links with South
American countries, Taiwan's diplomatic situation in Central America
is now becoming quite worrisome.

"Despite justified resentment over U.S. hegemonism, Central American
governments, no matter what their political complexion, cannot
ignore Washington's attitude toward the PRC's expanding presence in
this region as well as the importance of the U.S.-promoted Central
American Free Trade Agreement (CAFTA).

"Moreover, Taiwan's long-term contributions to this region have also
earned considerable public support, and Taipei's financial and
technological assistance has been crucial to Nicaragua's economic
development. ...

"... While it is unrealistic and improper for Taipei to expect
Washington to protect our diplomatic links in Central America, there
is room for Taiwan to lobby the U.S. to improve the economic
attractiveness of such schemes as CAFTA and to modify the agreement
in ways that can ease widespread opposition to the pact and thus
undermine efforts by China to position itself as an alternate
economic pole.

"Moreover, Taiwan needs to articulate its own autonomous economic
and political strategy for relations with Central America."

YOUNG