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Cross-Straits talks underscore economic exchanges, co-op

(Xinhua)
Updated: 2009-04-26 08:42

NANJING -- Negotiators from the Chinese mainland and Taiwan on Saturday stressed the significance of enhanced cross-Straits economic exchanges and cooperation amid the international financial turmoil.

Zheng Lizhong, deputy chief of the mainland-based Association for Relations Across the Taiwan Straits (ARATS), said the international financial turmoil has brought new challenges to economic development across the Taiwan Straits.

Zheng Lizhong (R), vice-president of the mainland's Association for Relations Across the Taiwan Straits (ARATS), shakes hands with Kao Koong Liann, vice chairman and secretary-general of Taiwan-based Straits Exchange Foundation (SEF), before the preliminary discussion in Nanjing, capital of east China's Jiangsu Province, April 25, 2009. [Agencies]

Compatriots from the two sides aspired to accelerate cross-Straits economic cooperation, Zheng said at a preliminary meeting with his Taiwan counterpart Kao Koong-lian, Vice Chairman and Secretary-General of the island's Straits Exchange Foundation (SEF).

The meeting was held to make final preparations for Sunday's talks between the ARATS and SEF heads Chen Yunlin and Chiang Pin-kung.

Sunday's talks could bring enhanced economic development and cooperation across the Straits, he said.

Kao Koong-lian said one of the SEF's basic notions is that the cross-Straits relations should be two-way exchanges instead of one-way.

With mainland investment on the island, one of the four major issues under negotiation during the talks, the cross-Straits trade could basically resume normal two-way exchanges, he said.

He hoped issues on safeguarding cross-Straits investment agreements and preventing double taxation could be included in the next round of talks.

Direct transport, postal service and trade was totally cut off between the two sides since the Chinese civil war ended in 1949.

On Jan. 1, 1979, the Standing Committee of the National People's Congress, or the top legislature, called for an early realization of the three direct cross-Straits links on transport, mail and trade in its "Message to Compatriots in Taiwan." After 1979, the mainland allowed Taiwan products to enter at lower tax rates or tax-exempt.

In July 1988, the State Council, or the Cabinet, issued regulations encouraging Taiwan compatriots to invest on the mainland.

The mainland has been the largest trading partner of Taiwan since 2003, with annual trading volume surpassing 100 billion US dollars.