Officials agree: No state of emergency
　

ALL IN THE ACT: Cabinet and legislative officials said everything needed to deal with the disaster are already covered in the Disaster Prevention and Protection Act

By Flora Wang, Shih Hsiu-chuan and Ko Shu-ling
STAFF REPORTERS
Thursday, Aug 13, 2009, Page 1
　

The Legislative Yuan and the Executive Yuan yesterday decided against calling on the president to declare a state of emergency.

Legislative Speaker Wang Jin-pyng (王金平) said after a meeting with Premier Liu Chao-shiuan (劉兆玄) and the three legislative caucuses that they believed the government could handle disaster and relief procedures based on the provisions listed in the Disaster Prevention and Protection Act (災害防救法).

Wang told reporters that the officials also agreed that there was no need for the Executive Yuan to file a special budget request for reconstruction because the Cabinet still has NT$40 billion (US$1.2 billion) at its disposal for relief work and reconstruction.

But the speaker said the Cabinet promised to have its subordinate organizations estimate the budget they need for reconstruction.

If the Cabinet decides to propose a special budget, legislators across party lines will hold an extraordinary session to complete the review within a short period, Wang said.

Speaking about the decision, Liu said: “At this stage, we don't think an emergency decree is necessary. We compared the emergency decree and the Disaster Prevention and Protection Act and found that the act already covers what is written in the decree.”

The Act was promulgated after the Sept. 21 Earthquake in 1999.

Liu said he respected President Ma Ying-jeou's (馬英九) authority to choose to implement the decree or not.

Asked about mounting complaints that the government failed to act promptly to rescue victims, Liu said he did not agree.

“In contrast with the disaster relief after the 921 Earthquake, we acted swiftly this time. I didn't enter the earthquake-affected areas [as vice premier then] until Sept. 28 when comprehensive relief work was launched,” he said.

“It is unavoidable that there be complaints, and we will make improvements,” the premier said. “But overall, we have acted swiftly.”

“If you interview local commissioners, they would say the same thing,” Liu said.

Liu said that weather conditions impeded rescue efforts, and that delays were not the result of government not sending enough military personnel, equipment and vehicles.

Yang Chiung-ying (楊瓊瓔), the secretary-general of the Chinese Nationalist Party (KMT) caucus, said earlier yesterday the legislature was ready to hold an extraordinary session.

With the death toll from Typhoon Morakot rising and hundreds of people still stranded in areas wiped out by mudslides, lawmakers questioned President Ma Ying-jeou (馬英九) leadership and the government's disaster relief effort.

KMT Legislator Tsao Erh-chang (曹爾忠) said the whole administrative network should be dedicated to disaster relief, adding that the absence of senior government chiefs at disaster-hit areas was “unacceptable.”

KMT Legislator Lo Shu-lei (羅淑蕾) said the president should have ordered full military involvement in disaster relief.

“I expect President Ma to exercise his power as commander-in-chief as soon as possible,” Lo said.

KMT caucus Legislator Lu Hsueh-chang (呂學樟) said the government's disaster relief policy was problematic and should be reviewed.

Democratic Progressive Party Legislator Chen Ting-fei (陳亭妃) questioned Ma's leadership, saying that only about 8,000 soldiers had been mobilized since the typhoon struck.

Huang Huang-hui (黃煌煇), vice chancellor of Cheng Kung University in Tainan, told the KMT Central Standing Committee the only way to get the government to understand the situation would be to flood the Presidential Office.

Ma said yesterday that the Executive Yuan would decide today whether to request a special budget for disaster relief.

Visiting Cishan Township (旗山) in Kaohsiung County, Ma said government agencies had been assessing the potential cost of reconstruction. If current budgets were not enough, Ma said the Cabinet could enact an extraordinary decree to request a special budget.

Unlike Tuesday, when petitioners were blocked by police and bodyguards, the families of victims were able to approach Ma and tell their stories.

While some held up a banner reading “Retarded government, cold-blooded murderers,” a tearful grandmother spoke about losing her fish farm, telling Ma she had no fish to sell and “would die” because she owed a lot of money.

Another woman cried out: “President Ma, please help,” while another asked Ma to distribute money as soon as possible.

Ma acknowledged the severity of the destruction caused by Morakot, but said it was unnecessary to declare a state of emergency.

“I am not saying that the situation is not serious. It is very serious,” he said.

Ma said the government declared a state of emergency after the 921 Earthquake in 1999. The decree covered 11 issues, which were later enshrined in the Disaster Prevention and Protection Act, which sanctions the recruitment of private sector resources and simplifies administrative procedures.

“As the law is applicable to minor and major disasters, we don't have to declare a state of emergency when disaster strikes,” he said.

While victims' families criticized the rescue efforts as too slow, Ma said the rescue mission would continue, weather permitting, adding that the government must evacuate and had the right to evacuate residents against their will.

He also asked Kaohsiung County Commissioner Yang Chiu-hsing (楊秋興) to help evacuees find housing and consider subsidizing their rental fees.

Compensation for agricultural losses will be made in accordance with the Agricultural Natural Disaster Relief Regulations (農業天然災害救助辦法), he said, and could be dealt with on a case-by-case basis if reimbursements are insufficient.

China arrests Rio Tinto staff on lesser charges

AP, SHANGHAI
Thursday, Aug 13, 2009, Page 1

China has formally arrested four employees of Anglo-Australian mining giant Rio Tinto Ltd on charges of infringing trade secrets and bribery, allegations less dire than earlier accusations of espionage in Chinese state media.

Xinhua news agency said yesterday that investigations showed the four employees, including Australian citizen Stern Hu (胡士泰), had obtained commercial secrets about China's steel and iron industries through “improper means” and were involved in bribery.

The report made no mention of the more serious accusations of stealing state secrets, which Chinese media have been saying the four would face.

Rio Tinto's iron ore chief executive Sam Walsh told reporters yesterday that the company believed its employees were innocent. The Australian government urged Beijing to let Hu consult with a lawyer.

“The charges have been downgraded and I think that reflects what we've been saying all along, that we don't, in fact, believe there's any evidence of wrongdoing,” Walsh was quoted as saying on the ABC Web site.

Hu, the chief of Rio Tinto's Chinese iron ore business, and three Chinese nationals working for the miner were originally detained on July 5 amid contentious ore price talks with Chinese steel mills.

The case has further strained relations with Australia, a key supplier of iron ore and other resources for China's fast-growing economy, after Rio Tinto's decision in June to drop a US$19.5 billion deal with the state-controlled Aluminum Corp of China (中國鋁業).

Chinalco, as the Chinese company is better known, later subscribed to a US$15.2 billion share issue to maintain a 9 percent stake in Rio Tinto.

News of the arrests was also reported yesterday on the Web site of the China Procuratorial Daily, which is run by the Supreme People's Procuratorate — China's top prosecutorial organ.

Xinhua said Chinese prosecutors had found evidence of bribery. It said some individuals in Chinese steel and iron companies were suspected of providing the Rio employees with commercial secrets, though no specific details were given.

The Australian foreign affairs department was informed about the arrests and charges late on Tuesday by China's Ministry of Public Security.

“We encourage China to allow Mr Hu all the protections available under Chinese law, including access to legal representation, now that he has been formally arrested,” the department said in a statement.

Politicians, doctors form relief alliance
　

MEDICAL MISSION: Physicians, nurses, pharmacists and social workers are wanted for teams that will head to the mountains to provide first aid and trauma counseling

STAFF WRITER, WITH CNA
Thursday, Aug 13, 2009, Page 3

“If all goes smoothly, our medical relief workers will set off before this Sunday.”— Lee Sin, KMT legislator

A group of politicians and medical professionals based in northern Taiwan formed an alliance yesterday to pool resources for flood and mudslide-ravaged Aboriginal villages in the south.

“Since many people in Taipei are anxious to help, the alliance decided to take direct action and adopt hard-hit Aboriginal villages in southern Taiwan,” said Lee Shin (李新), a Chinese Nationalist Party (KMT) Taipei City councilor.

The “88 Taiwan Warmth Delivery Alliance” will send physicians, nurses, pharmacists and social workers to the most severely affected villages in mountainous areas of the south, Lee said at a news conference at the Legislative Yuan.

“If all goes smoothly, our medical relief workers will set off before this Sunday to undertake post-disaster rehabilitation operations in affected zones,” Lee said.

Those with the necessary skills can join the alliance, while the public can also donate to projects in the villages.

At the same conference, Hou Chin-chu (侯金助), head of Shihzih Township in Pingtung County, said floods and landslides triggered by Typhoon Morakot had hurt the county’s Aboriginal communities far more than had been reported.

“Many villages, including Wutai [霧台], Sandimen [三地門], Majia [瑪家], Taiwu [泰武] and Laiyi [來義], were cut off when Morakot’s torrential rains knocked out roads and bridges,” Hou said.

Trapped villagers are in urgent need of help, he said.

Huang Sung-hsiung (黃松雄), a physician from the New Taiwanese Cultural Foundation, said the alliance would form teams of doctors, nurses, pharmacists and public health experts to send to southern Taiwan later this week.

They will offer medical services and counseling, as well as helping with the environmental cleanup to prevent outbreaks of disease.

KMT Legislator Lo Shu-lei (羅淑蕾) said the disaster zones needed supplies such as instant noodles, detergent and medical supplies such as face masks.

“The alliance has sent 2,000 masks to Kaohsiung County to meet demand,” said Lo, who urged others to join the effort.

A spokesman for Althea Medical Resources Integrated Service said the company would join the alliance to help get medical aid to flood survivors.

“We will dispatch well-equipped medical vehicles to assist medical personnel sent to the disaster zones,” the spokesman said.

Media must look at causes behind flooding: analysts
　

By Loa Iok-sin and Shelley Shan
STAFF REPORTERS
Thursday, Aug 13, 2009, Page 3
　

Media Watch chairman Kuang Chung-hsiang (管中祥) said yesterday there was a risk that media would focus on the trauma of Typhoon Morakot but neglect the underlying issues behind the disaster.

“In their coverage of the disaster caused by Typhoon Morakot, the media seem to be taking advantage of tragedy and turning the victims into [profits]” by using their stories to boost viewer ratings, Kuang told the Taipei Times in a telephone interview. “They ask reporters to risk their lives to go into devastated areas and advertise the reports as ‘exclusive’ to boost their viewership.”

“On Monday, the Apple Daily even put a huge picture of the bodies of victims on its front page, which made many readers, including the families of the victims, uncomfortable,” he said.

Although some news programs and political commentary shows are scrutinizing the government’s response, “they are not looking at the long-term problems that lead to disasters, such as the quality of public infrastructure and water management,” Kuang said.
　

If the government makes promises to improve the situation, the media needs to follow it up, he said.

Media Reform Taiwan member Cheng Kuo-wei (鄭國威) said media were neglecting key questions.

“What obstructed the flow of rivers? Who built the embankments along riverbanks? Who permitted constant digging of sandstone [from river beds] and changed the course of rivers? Who used up underground water? Who allocated all the resources to cities, leaving death and injury for the countryside? Why is it that elderly people and children are left to save themselves when disasters strike rural areas?” Cheng said.

Cheng said the media and the public need to pay attention to infrastructure and water management projects. While the media broadcast nonstop footage of tearful villagers, no one is talking about the effects of construction and high-altitude agriculture on the natural mountain vegetation and the role this plays in flooding.

“Knowing why something happens and preventing it from happening” again should be a top priority, he said.

Meanwhile, National Communications Commission (NCC) Chairwoman Bonnie Peng (彭芸) issued a statement on Tuesday recognizing the role of media in rescue efforts.

However, while it is positive that TV news correspondents gather information about the situation, media outlets should try to verify reports before airing them.

Jason Ho (何吉森), director of the NCC’s communications content department, said one TV station had reported that 30 corpses were spotted floating down a river, then said 15 minutes later that the report was wrong.

Peng said TV stations should also inform viewers whether footage they air is a live broadcast of the current situation.

Viewers “need to know if the roads that were blocked are now accessible or if the trapped victims have been rescued,” Ho said.

Chen would testify in US case
　

SOVEREIGNTY: The former president signed an agreement to testify in a US court in a legal case that claims the US holds temporary de jure sovereignty over Taiwan
　

By Ko Shu-ling
STAFF REPORTER
Thursday, Aug 13, 2009, Page 4

Former president Chen Shui-bian (陳水扁) has said he is willing to testify before the US Supreme Court in his capacity as the “former leader of the Republic of China (ROC) government in exile” to argue that it is illegal to consider Taiwanese as ROC citizens and that Washington is the “principal occupying power of Taiwan,” the founder of the Formosa Nation Legal Strategy Association, Roger Lin (林志昇), said yesterday.

Lin said Chen had signed an affidavit in support of a writ of certiorari, an order by a higher court directing a lower court to send a record in a given case for review.

Chen’s office yesterday confirmed Lin’s claim, saying that the former president had signed the declaration and was happy to testify in person in a US court.

It is uncertain, however, whether Chen will be able to do so because he has been in custody since December last year.

Chen is suspected of money laundering, accepting bribes, forgery and embezzling NT$15 million (US$450,000) during his presidency.

He and his wife are accused of accepting bribes in connection with a land procurement deal, as well as kickbacks to help a contractor win a tender for a ­government construction project.

In the affidavit, written in English, Chen, who described himself as the “former president of the ROC government in exile,” said that the US has been the “principal occupying power” of Taiwan.

He said in the affidavit that Washington has considered him the head of the “Taiwan governing authorities.”

“Based on this rationale, during my term of office, I accepted the instructions of the Chairmen of the American Institute in Taiwan on many occasions, even when their instructions interfered with my Presidential decision making,” he said in the statement.

He said he would like to clarify in court the relationship between “the people of Taiwan (not the ‘exiled Chinese’ on Taiwan) and the United States, and the rights of the native Taiwanese people to hold same form of US-issued travel documents.”

Chen argued that it was illegal under US law for the Ministry of Foreign Affairs to issue ROC passports to native Taiwanese persons.

The current policies that coerce native Taiwanese persons to hold ROC passports also constitutes a serious violation of their dignity, he said in the affidavit.

Lin petitioned at a US District Court in October 2006 to rule on the nationality of the people on Taiwan.

The court dismissed the case for lack of jurisdiction over the subject matter under the political question doctrine.

On appeal, Lin argued that the US was Taiwan’s “principal occupying power,” effectively giving the US temporary de jure ­sovereignty.

When permanent sovereignty is ultimately decided, Lin said the de jure sovereignty of the US will then cease.

The Court of Appeals upheld the District Court’s ruling that deciding sovereignty is a political task rather than a judicial question.

As the executive branch of the US government has remained silent on this issue, the court said, it could not intrude on its decision.

Lin appealed to the US Supreme Court on July 8 and, according to him, the court will hold a hearing on whether to accept the appeal on Sept. 29.

Lin yesterday said he was confident the court would rule in his favor.

Prosecutors deny Koo Jr is under investigation
　

By Shelley Huang
STAFF REPORTER
Thursday, Aug 13, 2009, Page 4

Prosecutors in charge of investigating former president Chen Shui-bian’s (陳水扁) corruption cases yesterday denied reports that former Chinatrust Financial Holding Co vice chairman Jeffrey Koo Jr (辜仲諒) bribed the former president with NT$300 million (US$10 million) in exchange for allowing a site in Ankeng (安康) to pass an environmental impact assessment.

The Chinese-language Next Magazine yesterday reported that to pave the way for the development of a burial site in Ankeng controlled by a subsidiary of the Chinatrust Financial Holding, Koo bribed the former president with NT$300 million so the project would pass the environmental assessment.

The Supreme Prosecutors’ ­Office’s Special Investigation Panel (SIP) yesterday denied the report.

SIP prosecutors are not investigating cases related to burial sites in Ankeng, nor have prosecutors received any information that Koo bribed the former first family to pass such an assessment, SIP spokesperson Chen Yun-nan (陳雲南) said. He said the reports are false and unfounded.

Former first lady Wu Shu-jen (吳淑珍) was charged in May with violating the Political Donation Act (政治獻金法) because she did not report NT$300 million in political donations she allegedly received from Koo.

Koo previously testified as a defense witness that he made “reluctant contributions” to the former first family because it was very stressful for him to come up with such large amounts of money.

A muted response to real disaster

Thursday, Aug 13, 2009, Page 8

Over the past few days, volunteers and Netizens across the nation have turned their compassion into action, serving as rescue workers and searching for typhoon victims and transporting relief aid, or donating money and disseminating rescue and missing persons information via e-mail, Twitter, Plurk, Facebook and other social networking Web sites.

Yet the broadcast and print media continue to be filled with heartrending images of frightened survivors recounting narrow escapes, tearful villages wailing for their missing or dead loved ones and horrifying scenes of villages annihilated by water, rocks and mudslides.

There is only so much that individuals and charity groups can do when a disaster of this magnitude strikes. The most effective resources lie in the hands of the central government, which is the sole organization with the authority to integrate and mobilize rescue operations.

The government so far has rejected offers of material assistance from Japan and the US, with the Ministry of Foreign Affairs saying that Taiwan has “sufficient resources” and that “the disaster relief mechanism is working well.”

President Ma Ying-jeou (馬英九) has ruled out declaring an emergency decree, stating — perhaps not unreasonably — that existing legislation provides the executive with all the authority and resources that are necessary and that government mechanisms are functioning properly.

Arguments over the reach of the law and the utility of a presidential emergency decree will continue for some time, but for the moment, it is dumbfounding to recall that the president, speaking at the Central Emergency Operation Center on Saturday, shifted responsibility to local governments. He said it was those governments that should act as prime movers in rescue work and that the central government would act as an auxiliary. Given that local governments enjoy no authority to deploy military resources, Ma’s little lecture was as nonsensical as his verbaling of the Central Weather Bureau for failing to predict the enormity of the disaster.

Cabinet Spokesman Su Jun-pin (蘇俊賓) on Sunday said the scope and speed of the central government’s rescue work had exceeded that of the 921 Earthquake almost 10 years ago.

But a cursory comparison suggests this is not the case. Hours after the quake struck on Sept. 21, 1999, the Hengshan Military Command Center ordered the deployment of forces to disaster zones and commenced rescue work. Within a day, more than 15,000 personnel were stationed in quake-ravaged regions and advanced helicopters such as the OH-58D, which carries laser range finders and thermal imaging sensors, were deployed for rescue operations.

How ironic it is that a large number of the nation’s military bases are in southern Taiwan, yet three days after Typhoon Morakot slammed into the area on Friday, the military had deployed a mere 8,500 personnel to stricken areas, and without provision for advanced aircraft.

When disaster strikes, every hour counts. The earlier manpower is dispatched on search and rescue efforts, the more lives can be saved. At a time of disaster, leadership must come to the fore to minimize suffering and financial loss.

Clearly, this has not happened, and this failure will emerge as a profound test of the Ma administration’s credibility.

Avoiding ‘Animal House’

Thursday, Aug 13, 2009, Page 8

In the classic comedy movie Animal House, the dean of the university famously lectured a disheveled and intellectually deficient student, saying that “fat, stupid and drunk” is no way to go through life.

In his letter, Tien C. Cheng (Letters, Aug. 6, page 8) expresses some of the thoughts that I have had regarding major events of the past couple of years. I found it curious that Taiwanese kept voting for Chinese Nationalist Party (KMT) candidates in the legislative election and then reinstalled the KMT in the presidency. How odd that so many people were willing to cede complete control of their future to a political party that persecuted them for decades.

Perhaps, not having lived in Taiwan, I’m simply out of touch with everyday Taiwanese folks. But then again, I don’t see large numbers of African-Americans voting for candidates openly affiliated with the Ku Klux Klan. Nor do I hear of European Jews voting for candidates with neo-Nazi tendencies.

What are the possible reasons for this consistently odd pattern of voting? Naivete … maybe Ma will revive the economy and bring me a pay raise? Greed … let’s make money and forget the rest? Apathy … no interest in politics, someone else will do the heavy lifting? Fear … don’t want to speak up for fear of 228 Incident-style retaliation by the KMT? Brainwashing … from consuming only pro-KMT media?

Since the presidential election, National Taiwan Democracy Memorial Hall has reverted to being named after a dictator who murdered so many Taiwanese. What kind of nation tolerates such a symbolic reversal of freedom?

Taiwanese can’t depend on resident foreigners or overseas Taiwanese to make their case for progress. Either the people who didn’t vote for the KMT need to convince those who did to reconsider next time or those who didn’t participate will need to take a stand against the KMT.

I’m not saying that the Taiwanese population resembles the dean’s description of that student in Animal House, but “naive, apathetic and brainwashed” is not the path that one should be choosing consistently.

CARL CHIANG
Richmond, California

How can Ma appease the military?
　

By J. Michael Cole 寇謐將
Thursday, Aug 13, 2009, Page 8

President Ma Ying-jeou’s (馬英九) Chinese Nationalist Party (KMT) administration is now bound and driven by big business and financial institutions to a degree that is probably unprecedented in the history of the party.

Given the close relationship between big business, the banking sector and the KMT, it comes as no surprise that Ma’s cross-strait policies have been tremendously beneficial to those sectors.

Whatever friction may have existed under previous practices of the party, such as under former president Lee Teng-hui (李登輝), has largely disappeared. This is mostly the result of the leaders’ divergent assessments of the impact of cross-strait economic integration, as well as their respective stances on the question of Taiwanese independence.

For Lee — whose views on Taiwanese sovereignty took precedence over the party’s business interests — cross-strait economic integration had negative externalities, which accounted for his efforts, especially after his re-election in 1996, to proceed with caution and “go south” — that is, diversify foreign investment destinations to minimize reliance on China.

The Ma administration, for its part, appears to be indentured to the business community, and it clearly sees cross-strait economic liberalization as less threatening.

In fact, Ma and his aides see integration as a stabilizing force, a view that is thoroughly supported by the business community.

Another important factor is that while Ma has made an undertaking not to attempt unification during his first term, this development remains a long-term objective of today’s KMT.

But while Ma can count on the corporate and financial sectors to back his policies, and while he can expect full backing — especially now that he is KMT chairman — from the legislature, in which the pan-blue camp controls about three-quarters of the seats, there are two institutions that he cannot afford to neglect: the Taiwanese military and the US government.

Ma’s pronouncements on the military balance in the Taiwan Strait, added to his stated willingness to procure for the Taiwanese military the means to defend the nation, have at times sounded paradoxical when placed against his public statements on reconciliation with Beijing.

Indeed, his desire to purchase weapons from Washington cannot but have strained relations with Beijing — and yet, this is one area where Ma has tended to sound like his predecessors.

It would be difficult to reconcile Ma’s public statements on defense appropriations with his political statements vis-a-vis Beijing and ostensible efforts to undermine the nation’s defenses — for example, downgrading the Han Kuang military exercises — were it not for the fact that the military is just about the last branch of government that remains wary of Beijing’s intentions, as evidenced by its reaction to the Japan Defense Ministry’s White Paper that was released earlier this month.

As such, the military probably represents the last challenge by a domestic constituency to Ma’s cross-strait policies. One way to placate the military and keep its criticism to a minimum is to maintain weapons procurement and to keep military spending stable.

Ma has yet to consolidate his powerbase to an extent that he can afford to ignore the disquiet of the military, although purges, in the form of corruption probes, could soon change that by whittling away at the sectors of the military that remain resistant to unification — in other words, the pan-green elements within the armed forces.

When it comes to Washington, Ma has been forced to hedge against the possibility of abandonment while uncertainty remains in the Taiwan Strait.

Over the years, proof of political commitment and good relations with the US has largely come in the form of permission to purchase arms.

If Ma were to suddenly cut off the arms procurement spigot with the US, Washington could react either by increasing pressure on Taipei — especially through US constituents who fear a scenario in which Taiwan becomes part of the Chinese camp in East Asia — or abandoning it altogether, which would have serious ramifications for Taiwan’s ability to defend itself should cross-strait rapprochement derail.

Ma cannot disregard the interests of the military establishment. The key question is: As his powerbase grows and as the military is “cleansed” of what he sees as revisionist elements, will he become increasingly unresponsive to its appeals?

One way to assess this will be to see how the military is reorganized and what conclusions are reached following the corruption crackdown.

Another will be to look at Ma’s pronouncements on military expenditure, and whether words are turned into deeds — in other words, whether weapons are actually purchased and fielded.

J. Michael Cole is a writer based in Taipei.

An ECFA could blind us all to the big picture
　

By Peter C.Y. Chow 周鉅原
Thursday, Aug 13, 2009, Page 8

The controversy over the proposed economic cooperation framework agreement (ECFA) with China may have distracted attention from the resumption of negotiations between Washington and Taipei on a free trade deal.

Republican Congresswoman Ileana Ros-Lehtinen, a ranking member of the Foreign Affairs Committee, last week urged US Trade Representative Ron Kirk to promptly resume negotiations with Taiwan for a Trade and Investment Framework Agreement (TIFA) and for a US-Taiwan bilateral investment agreement.

A TIFA would provide strategic frameworks and principles for dialogue on trade and investment issues between the US and its trading partners. It could lead to further trade liberalization, such as a free trade agreement (FTA).

The US negotiated with Taiwan on a TIFA in 2007 and last year without success because of Taiwan’s refusal to lift restrictions on beef imports from the US. So, for those who care about Taiwan, Congresswoman Ros-Lehtinen deserves our appreciation for telling Kirk that TIFA negotiations with Taiwan should be resumed as soon as possible.

Taiwan has been a de facto player in East Asian integration through trade with and investment in ASEAN countries and China. However, because of the China factor, Taiwan has not been able to join any of the proposed trading blocs, whether it be ASEAN plus one or ASEAN plus any other number.

Given the severe challenges that result from being marginalized, Taiwan should grasp every opportunity to work with the US, which is also a player in East Asian integration, to break through the wall of marginalization.

What this means is that Taiwan should not just focus on an ECFA with China. In fact, implementing an ECFA without signing FTAs bilaterally and multilaterally elsewhere in the region would lead Taiwan to fall into the trap of the “hub-spoke” scenario described by Nobel laureate Paul Krugman, under which China would become the hub (or core) and Taiwan would become a spoke (or peripheral).

Resumption of TIFA negotiations with the US would be one step in the right direction in discussing a wide range of issues relating to trade and investment. Taiwan should not hesitate in responding if Washington suggests an immediate restart of talks.

A TIFA with the US would be conducive to furthering an FTA now that the US’ economic recovery is well under way and given that the administration of US President Barack Obama is paying due attention to the proliferation of trading blocs in Asia, and not just North Korean nuclear proliferation.

Taiwan needs to adopt a cosmopolitan view to understand that globalization is not the same as Sinicization. Taipei needs to sign individual FTAs with all of its trading partners, notably with the US, and not just an ECFA with China.

An ECFA with China will not serve as a panacea and may even result in the Taiwanese economy becoming peripheral to the Chinese hub.

Peter C.Y. Chow is professor of economics at the City University of New York and a research associate at the National Bureau of Economic Research.