Identifier
Created
Classification
Origin
07TAIPEI325
2007-02-09 06:03:00
CONFIDENTIAL
American Institute Taiwan, Taipei
Cable title:  

TAIWAN NAME RECTIFICATION HITS POSTAGE STAMPS

Tags:  ECPS ECON PREL TW CH 
pdf how-to read a cable
VZCZCXRO2676
RR RUEHCN RUEHGH RUEHVC
DE RUEHIN #0325 0400603
ZNY CCCCC ZZH
R 090603Z FEB 07
FM AIT TAIPEI
TO RUEHC/SECSTATE WASHDC 4067
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUEKJCS/SECDEF WASHINGTON DC
RHHMUNA/USPACOM HONOLULU HI
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
C O N F I D E N T I A L TAIPEI 000325 

SIPDIS

SIPDIS

STATE PASS USTR
STATE FOR EAP/TC
COMMERCE FOR 3132/USFCS/OIO/EAP/WZARIT
TREASURY FOR OASIA/LMOGHTADER
USTR FOR STRATFORD, ALTBACH

E.O. 12958: DECL: 02/09/2017
TAGS: ECPS ECON PREL TW CH
SUBJECT: TAIWAN NAME RECTIFICATION HITS POSTAGE STAMPS

REF: TAIPEI 308

Classified By: AIT Economic Section Chief Daniel K. Moore, Reason 1.4 b
/d

C O N F I D E N T I A L TAIPEI 000325

SIPDIS

SIPDIS

STATE PASS USTR
STATE FOR EAP/TC
COMMERCE FOR 3132/USFCS/OIO/EAP/WZARIT
TREASURY FOR OASIA/LMOGHTADER
USTR FOR STRATFORD, ALTBACH

E.O. 12958: DECL: 02/09/2017
TAGS: ECPS ECON PREL TW CH
SUBJECT: TAIWAN NAME RECTIFICATION HITS POSTAGE STAMPS

REF: TAIPEI 308

Classified By: AIT Economic Section Chief Daniel K. Moore, Reason 1.4 b
/d


1. (SBU) Summary: President Chen announced February 8
that Taiwan's state-owned Chunghwa Post Co. would change
its name to Taiwan Post Co. It will also change its
postage stamps to read "Taiwan" instead of "Republic of
China." A Chunghwa Post official told AIT that this will
require Taiwan to renegotiate its bilateral agreements
with other postal services around the world. End summary.


2. (U) On February 8, President Chen Shui-bian revealed
that Taiwan's state-owned postal service Chunghwa Post Co.
(in standard pinyin Zhonghua Youzheng) will change its
name to Taiwan Post Co. (Taiwan Youzheng). The President
also revealed that the firm will change postage stamps to
read Taiwan instead of Republic of China. The firm's
board of directors is expected to give final approval on
February 9.


3. (U) On February 1, Chinese Petroleum Corp. and China
Shipbuilding Corp., both supervised by the Ministry of
Economic Affairs, announced they would replace China
(Zhongguo) with Taiwan in their Chinese names (reftel).
(Comment: The "Zhongguo" term for China is generally
considered more controversial than the "Zhonghua" term
used in the postal service name, which is a traditional
literary term for China. End comment.) The plan to
change the name of Chunghwa Post, which is supervised by
the Ministry of Transportation and Communications, was
not revealed until the President mentioned it in his
weekly e-mail to the public.


4. (C) Chunghwa Post's Director of Public Affairs Chen
Hsian-chou told AIT that Taiwan will have to renegotiate
bilateral agreements with national postal services around
the world to accept mail with "Taiwan" (vice "Republic of
China") stamps. He said that Taiwan has such agreements
with more than 90 percent of all national postal services.
Chen speculated that the PRC might pressure other
countries not to accept "Taiwan" stamps. He noted that
Taiwan follows Universal Postal Union practices, even
though it is not a member of the UN organization.


5. (C) Chunghwa Post President Lai Ching-Chyi told the
press that the estimated cost of the name change will be
NT$70 million (about US$2 million). Chunghwa's Chen told
us that this estimate was conservative, pointing out that
the firm will not only have to change signs on post
offices and trucks, it will also have to change the
deposit books of 20 million financial services customers.
Chunghwa's labor union estimates the cost at NT$600 to
700 million (US$18 to 21 million).


6. (U) Chunghwa's labor union staged a demonstration on
February 9 to protest the change and threatened to take
more radical action on Monday if the plan is approved by
the board. Opposition Kuomintang (KMT) Party legislators
told the press that they would oppose any legislation
related to the name change. However, AIT has been unable
to find any evidence that legislative action would be
required to implement the change.


7. (C) Comment: The decision to change the name of the
postal service and especially Taiwan's stamps is more
controversial than the move to change the names of the
state-owned oil and shipbuilding companies. Beijing's
reaction will indicate what effect the decision could
have on cross-Strait relations, including sensitive
negotiations on further opening Taiwan to PRC tourists
and cross-Strait direct charter flights now entering a
decisive stage. End comment.
YOUNG