An Editorial of The Japan Times, March 29, 2008: Taiwan takes a new approach.
The election of Mr. Ma Ying-Jeou, the Nationalist (KMT) candidate, in Taiwan’s presidential campaign last weekend could herald a diminution of tensions in the Taiwan Strait, one of the remaining legacies of the Cold War and a potential nuclear flash point.

Mr. Ma has called for closer relations with the mainland. More importantly, he pledged that his administration would emphasize economics, rather than the political identity of Taiwan, a marked departure from the approach of the incumbent president, Mr. Chen Shui-bian.

This return to pragmatism in Taipei is welcome.

Mr. Chen’s eight-year tenure was a combative term. He was elected on a platform that stressed Taiwan’s identity, and he vowed to win international recognition for Taiwan’s political and economic achievements and greater diplomatic space. That pledge enraged Beijing, which considers Taiwan a “renegade province,” and earned Mr. Chen its eternal enmity. Both sides’ determination eliminated any maneuvering room for either government and ensured that cross-strait relations remained tense.

Mr. Chen made little progress on his Taiwan identity agenda. He did manage to alienate close friends in Washington, however. Even though U.S. President George W. Bush took office believing that China was a strategic competitor with the U.S., midway through his first term Mr. Bush was prepared to rebuke Mr. Chen for causing tensions in Asia, a view widely shared in the region.

More troubling for the Taiwanese was a sense that identity politics were hurting Taiwan’s image and undermining its economy. Even though the economy grew 5.7 percent in 2007, most Taiwanese felt that they were not benefiting from growth. Many blamed the government’s restriction on investment on the mainland — Taiwanese companies are not allowed to put more than 40 percent of their net value into China — which grew out of a concern that Taiwan was becoming too dependent on China’s economy.

In his campaign, Mr. Ma, a former mayor of Taipei, vowed to focus on the economy. That won over most voters, who elected him over Mr. Frank Hsieh of the president’s Democratic Progressive Party (DPP), by a 58 to 42 percent margin. The results were expected. The KMT and two small affiliates claimed three-quarters of the seats in parliamentary elections in January and the KMT runs 15 of Taiwan’s 25 largest cities. In fact, the prospect of KMT domination of both the executive and legislative branches was one of the most important influences on voter thinking in last weekend’s ballot.

Not even the Chinese government’s crackdown on Tibetan protests — and dire warnings from Mr. Hsieh that closer relations with the mainland would herald a similar fate for the island — stemmed the tide of support for Mr. Ma. Taiwanese voters know better. So does Mr. Ma. Closer relations with the mainland do not mean that reunification is around the corner. Most Taiwanese want independence, but they recognize what is not within their grasp. They seek pragmatic accommodation that allows them to prosper while protecting their hard-won democratic freedoms.

Even while pushing for better relations with the mainland, Mr. Ma ruled out any discussion of political reunification. He has attended annual vigils for the victims of the 1989 Tiananmen killings and denounced other forms of repression. The new president is not naive.

After winning the vote, Mr. Ma explained that his first priority “is normalization of (economic) relations, and then a peace agreement.”

The biggest concern now is Beijing’s understanding of Taiwanese politics. It has wooed KMT leaders for several years and they have reciprocated. But if Beijing expects the new president to sharply alter course, then it is sure to be disappointed. Mr. Ma has said that “before we can talk about peace, we need to remove the threat,” a reference to the 1,000 missiles reportedly arrayed against Taiwan. Mr. Ma has also promised to increase defense spending to about 3 percent of GDP. That does not sound like a man ready for unification. Fortunately, with the Olympics on the horizon, China will have little appetite for tension.
Mr. Ma also reportedly wants to elevate relations with Japan. Japan overtook the U.S. in 2006 as Taiwan’s second-largest trading partner: Two-way trade nearly reached $63 billion, and 2.3 million tourists were exchanged. While the KMT has traditionally been cool on relations with Tokyo, Mr. Ma is said to want to launch negotiations on a free-trade agreement. Those talks will be tricky: China is sure to take offense at any deal that appears to prevent reunification.

Mr. Ma has his work cut out for him. But the scale of his victory should provide a solid foundation for his administration. Taiwan’s voters appear to understand his priorities and appear ready to back a pragmatic agenda. Most significantly, the alternation of power — from KMT to DPP and back to KMT — is powerful reassurance about the state of democracy in Taiwan.