China and Taiwan sign economic deals

TAIWAN and China yesterday signed a range of deals aimed at bringing the two sides closer economically, after almost 60 years of hostilities that often took them to the brink of war.

Officials from the two sides were shown live on television signing four agreements that are potentially worth billions of euro, after talks that marked a significant warming of ties between the former bitter enemies.

Both sides have agreed to introduce direct cargo shipping and postal services, to add passenger flights and to discuss food security in the wake of health problems caused by poisonous Chinese food imports.

Tourism co-operation was also part of the talks, which took place yesterday morning in Taipei’s Grand Hotel between Beijing’s envoy Chen Yunlin, head of China’s Association for Relations Across the Taiwan Strait, and Chiang Pin-kung, his local counterpart as head of the Strait Exchange Foundation.

Television footage showed the two men shaking hands as they held copies of the signed agreements.

Chiang presented Chen with a large framed painting bearing eight Chinese characters, in black on a gold background, that read: “Peace agreement for a win-win situation.”

Chen reciprocated with a crystal sculpture of a handshake, which he said symbolised peace and co-operation.

The two sides have agreed to treble direct passenger flights to 108 per week and expand services to a total of 21 Chinese cities, up from the current five.

The deals will introduce cargo flights, with up to 60 round trips per month crossing the 180km Taiwan Strait that separates the island from China.

Chiang told reporters after the signing ceremony that both sides were happy to have reached the agreements “as expected”.

They also agreed to co-operate on food safety in the wake of a number of international scandals involving toxic Chinese food.

Beijing formally still claims sovereignty over the island, which split from China when the nationalist Kuomintang lost the civil war and fled to Taiwan. The Chinese government has vowed to retake the island, by force if necessary.

The KMT government of President Ma Ying-jeou won office earlier this year on a platform of closer ties with China.