EXBS: TAIWAN MONTHLY REPORTING CABLE - MAY AND JUNE 2008

UNCLAS AIT TAIPEI 000960 SENSITIVE SIPDIS STATE FOR ISN/ECC - YWONG, ACHURCH, AND ROWEN STAE ALSO FOR EAP/TC - SBREMNER CBP/INA FOR DKING DOE FOR ENERGY/NNSA FOR TPERRY AND SJONES E.O. 12958: N/A TAGS: ETTC MNUC PARM PREL KSTC KNNP TW SUBJECT: EXBS: TAIWAN MONTHLY REPORTING CABLE - MAY AND JUNE 2008 ¶I. BROAD ITEMS OF INTEREST TO ADVISORS AND AGENCY MANAGERS: (SBU) Status of Transfer of Intangible Technology Legislation: The Bureau of the Organic Laws and States, Legislative Yuan (LY),plans to review the Transfer of Intangible Technology legislation proposed by the National Science Council (NSC),the Executive Yuan (EY), according to an NSC official. With the new administration in place, the official said the LY is again considering the legislation which was originally proposed six years ago, and revised several times since. She also stated that the current bill deals with controls of transfers of technology for national security and export control purposes. She said the legislation will be given priority by the LY as soon as the LY finishes the FY 2009 budget bill. II. COMPLETED ACTIONS FOR THE REPORTING PERIOD. ¶A. SITE ASSESSMENTS AND MEETINGS DURING REPORTING PERIOD: ¶1. (SBU) On May 16, the EXBS Advisor made a courtesy call to the Deputy Director of Keelung Customs and the Chief of the Keelung Harbor Police. Both organizations actively participate in EXBS programs. During the visit, Keelung Customs gave a comprehensive presentation on its operations, specifically as they related to controls of Strategic Hi-Tech Commodities (SHTC): Since 1992, Keeling Customs has been using an automated cargo clearance system; the average export cargo clearance processing time is 0.20 hours for sea cargo and 0.14 hours for air cargo; 80.45% of sea cargo and 91.43% of air cargo is cleared without physical examination. In 2007, Keelung Customs intercepted 105 of the 429 SHTC suspect shipments found by Taiwan Customs. Lastly, Keelung Customs demonstrated an on-site containerized cargo examination for the Advisor. After the cargo examination, the Harbor Police provided a tour of the port in a patrol boat to further explain its operations on the water. Both Keelung Customs and Harbor Police expressed gratitude for the opportunities provided by EXBS and are looking forward to participating in future programs. ¶2. (SBU) On May 23, the EXBS Advisor met with the Harbor Master of the Keelung Harbor Bureau. The Keelung Harbor Bureau regularly participates in EXBS programs. As part of the meeting, the Keeling Harbor Bureau gave a video briefing of the harbor management, function and services. The Port of Keelung encompasses approximately 5.72 square kilometers in water area. Port facilities are capable of accommodating Post-Panamax (a class of container ship with a cargo capacity exceeding 10,000 TEU) container vessels and bulk cargo vessels up to 60,000 tonnage. The port operates with 57 wharves and has over 9,000 meters in total length and one main channel with a depth of 15.5 meters. The port was originally founded in 1945. Keelung Harbor serves the Greater Metro Taipei Area and outlying regions and industrial parks. The port attracts commercial vessels from all over the world and is becoming one of the most important ports in the Asia-Pacific region, according to the Keelung Harbor Bureau. ¶B. BLUE LANTERN: (U) Two Blue Lantern checks were conducted by the Advisor during the reporting period. Results of the checks have been forwarded to PM/DDTC. ¶C. TRAINING CONDUCTED DURING REPORTING PERIOD: (U) None. III. UPCOMING TRAINING: ¶1. (U) The EXBS Advisor will participate as a technical expert in a licensing program in Hanoi, Vietnam from July 9-11. ¶2. (U) From July 23-24, the Department of Energy will implement an Industry-Government Outreach Program in Taipei. Industry and Taiwan official representatives are expected to attend. The attendees will have an pportunity to view the internal control program (ICP) baseline software and get an update on Taiwan-specific ICP software development. IV. UPCOMING MEETINGS: (SBU) The Advisor plans to meet with officials from the Taiwan External Trade Development Council (TAITRA) in coming weeks to discuss Taiwan's trade missions to North Korea and Burma. ¶V. RED FLAG ISSUES: None. POC for this report is Mi-Yong Kim, EXBS Advisor. Telephone 886 2 2162 2347. YOUNG