Taiwan, China Sign Historic Trade Pact

Setting Aside Decades Of Hostility, Nations Agree To Expand Flights, Allow Shipping

(CBS/AP)  Taiwan and China set aside decades of hostilities Tuesday and agreed to drastically expand flights and allow shipping links across the Taiwan Strait - a potential hotspot that has long threatened to become a war zone.

The historic deal highlighted the dramatic improvement in relations in the past half year between the rivals that split amid a bloody civil war in 1949. They agreed Tuesday to hold high-level talks every six months and focus on building closer financial ties in the next round of meetings.

After signing the pact, Chinese envoy Chen Yunlin smiled and shook hands with his Taiwanese counterpart, Chiang Pin-kung. They sipped champagne and held up two lines of framed calligraphy that said, "Peaceful negotiation creates a win-win situation."

For nearly six decades, Taiwan banned direct flights and shipping with China, fearing China might attack with bombers and warships disguised as civilian vessels.

But the rivals began relaxing restrictions on flights in July when their envoys met in Beijing. They signed a confidence-building deal then that allowed 36 weekly flights from five mainland cities.

Tuesday's agreement - which becomes effective in 40 days - more than tripled the number of weekly flights to 108. It also allows planes to take off from a total of 21 cities. Under the deal, cargo planes can also begin flying the route, with 60 allowed each month.

In the past, cargo ships had to sail to the Japanese island of Okinawa before going to the other side. Tuesday's agreement allows them to sail directly across the 100-mile-wide (160-kilometer-wide) Taiwan Strait.

"The direct shipping will finally help Taiwan become a transport hub in Asia and better explore the mainland market," Chiang told reporters after the meeting. "With each cruise, they won't have to go to Okinawa, and they save about 16 hours and cut costs by between 15 and 30 percent."

A Chinese official, Zheng Lizhong, said the air links will save the airlines about 2 billion New Taiwan dollars (US$60 million) a year. He said the direct shipping links will trim their costs by NT$1 billion (US$30 million) annually.

Chiang said the two sides would seek an agreement that allows banks to set up branches on each side. They would also set up agencies that would help resolve trade disputes, he said.

The agreement also includes measures for greater cooperation on food safety. The deal allows faster recalls of unsafe products and better exchange of information.

The drastic warming in relations began after Taiwanese President Ma Ying-jeou was elected in March, pledging to ease military tensions and forge closer economic ties with China.

Ma's predecessor, Chen Shui-bian, was vilified and shunned by Beijing because he leaned toward independence. His eight years in office were also marred by policy blunders and corruption. China has repeatedly warned that Taiwan has two choices: eventual unification or a devastating attack.

Ma's Nationalist Party has long supported eventual unification with China - a policy that has helped the new president win Beijing's trust. But Ma has promised not to pursue unification talks or move the island toward independence.

[downsteamjim]

Taiwan has two things [three if Biden does the counting] going aganist them with Obama. They are democratic and capitalist. Obama will reinstitute the Carter Doctrine of help your enemies and back stab your friends.

[yurang]

As a 80th,i''ve no idea how our fathers consider the other side,but our textbooks always consider Taiwan as our brother.However,whenever i surf the net,many Taiwanese people have too much misconceptions about Chinese Mainland.I confused.Whatever,we''ve no intention of"invading and occupying"the island.I know nothing about politics,but i can see clearly about the tense situation on the Korean Peninsula.

[linuslin2209]

(Part II)

It is just one of the cases for the incidents of the policemen rudely trampling Taiwanese''s right. I would like to inform a bunch of serious human rights violations are happening in Taiwan NOW, and it might last to this Friday at least. (Please visit the site in Traditional Chinese: http://www.wretch.cc/blog/billypan101/14367606)

IT HAS SERIOUSLY VIOLATED HUMAN RIGHT & EXTREMELY
UNACCEPTABLE!!! HOW CAN THE GOVERNMENT LET THE POLICEMEN LOOSEN ON INFRINGING IT!!!

How can we, local Taiwanese residents, expect the Taiwan government that they can keep the sovereignty over China and have a happy result? Bonding to China will not be the ONLY alternative!!!

[linuslin2209]

Top of the China negotiator, Mr.Chen Yun-Lin, is visiting Taiwan now, and the Taiwanese government authorize the police, national security agency to do against almost ALL the Taiwanese, and that ONE THING is to do anything possible to keep all the Taiwanese
who look suspicious, protester-like, or anyone carrying Taiwan(ROC)national flag far far away from Mr. Chen, other Chinese officers and even reporters.

On Nov. 4 2008, a member of Association of Taiwan Journalists named Chen Yu-Ching was arrested without any charge. She didn''t do anything violated the
law, but just carried a DV for shooting. She might be doing some kind of news reporting or making documentary film. No matter what she did, Taiwan is not under marshal law now, and she or anyone who doesn''t break the laws should be free to do anything,
including carrying a DV, a flag, or even protesting.

(Part I, to be continued)

[wcreader]

Re-send: Instead of hearing high picth noise by some ex-politician in Taiwan, we are happy to see Chinese from both side of the Taiwan Strait to come together in talking, making plan for the future together. Regardless of one''s political believe, for many Chinese, it is as the family re-union afer 60 years of seperation. Best wish for the people and the governments from both side of the strait. I believe they have the wisdom to bring good to people''s life from both side fo the Taiwan strait. It better to come together in joy, in care, in sharing and in mutual development and respect, than to go back to seperation, islation and war. God bless the people.

[wcreader]

Instead of hearing high picth noise by some ex-politician in Taiwan, we are happy to see Chinese from both side of the Taiwan Strait to come together in talking, making plan for the future together. Regardless of one''s political believe, for many Chinese, it is as a family re-union afer 60 years of seperation. Best wish for the people and the governments from tow side of the strait. I believe they have wisdom to bring good to people''s life from both side fo the strait. It better to come together in joy, in care, in sharing and mutual development, than to go back to seperation, islation and war. God bless the people.

[txgrouch2007]

The response would be massive from the U.S. without a doubt, some here even dispise the fact of economic ties in China.
Posted by MrNrgmizer at 03:10 PM : Nov 04, 2008

I can tell you''re from Taiwan. Maybe IN Taiwan.

Forget it. If there was going to be a massive response from the U.S. it would have been against Congress for this ruinous bailout package that was opposed by the overwhelming majority of citizens, but Congress did it anyway. How many incumbents will lose office tonight, on Election Day? Probably very few.

China HAS NO "line" of acceptable behavior. I assure you that when a nuclear war breaks out, China will be the first to launch offensive nuclear weapons. They have NO human decency whatsoever. Utterly barbaric atrocities is the standard to be expected from the leaders of China.

As for economic ties - America no longer cares about ANYTHING except money. Cheaper is ALWAYS better, and China is cheaper. NOBODY will lift a finger against China as long as they keep taking our jobs away with cheap foreign imports.

Don''t expect anyone to shed a tear over Taiwan except the individuals who were born there.

[txgrouch2007]

"For nearly six decades, Taiwan banned direct flights and shipping with China, fearing China might attack with bombers and warships disguised as civilian vessels. "

Within six months, this is EXACTLY what will happen.

I know China. They already have the fleet of civilian airlners converted to bombers, hidden in secret hangars. They already have heavy artillery pieces hidden in fake shipping containers to put on ships.

Taiwan is doing this because their economy is falling apart like ours, and they''re DESPERATE to save money. Just like our home lending bailout is a desperate attempt to rescue the economy.

This is Taiwan''s $700 billion bailout. They are doomed by blinding themselves to anything but money.

[txgrouch2007]

There is severe flooding in Hanoi.
Posted by Petro49L at 06:41 AM : Nov 04, 2008

Call Jane Fonda. Maybe she can help.

As far as I''m concerned - Hanoi can go *** itself.

[zhynaryll]

Let the Chinese work out their own problems. We have served our purpose by allowing the Taiwanese people to prosper and become strong enough economically to feel free to reach an end to open hostilities with mainland China. Hey, Taiwan could become the ''Puerto Rico'' of the Far East!

[liuuu-2009]

Taiwan, District of China

[painbslapu3]

OH NO, THERE GOES TAIWAN''S QUALITY WITH CHINESE CHEAP C R A P MATERIALS.

PLEASE DON''T BUY CHINESE! THEY ARE DANGEROUS TO YOUR HEALTH!!

[petro49l]

There is severe flooding in Hanoi. American foreign aid should reach that country. The United States needs a real peace with Vietnam, China, and North Korea. Threats from this country of warfare using thermo-nuclear warheads are paranoid, delusional, and schizophrenic.