The tightrope act of China-Taiwan relations

China’s acceptance of Taiwan’s participation at a WHO meeting, as well this week’s cross-straits trade talks, are the latest in warming relations since Taiwanese leader Ma Ying-jeou took office. It will be the first time since 1972 that Taiwan will participate in a WHO world health assembly. The newest rounds of trade talks included the possibility of a China Mobile purchase of 12 percent stake in Taiwanese Far EasTone Telecommunicatons.The easing of trade barriers for Taiwanese businesses comes as a relief for those already part of the $100 billion invested in mainland sectors. New agreements may be a necessary boost for Taiwan’s economy, which saw big gains in the stock market at the end of the week. The Weighted Price Index of the Taiwan Stock Exchange rose 6.7 percent, the highest rise in nearly 18 years. While all this looks good for now, some analysts question how many Beijing concessions will be ceded before the question of Taiwan independence arises. Some continue to warn, Beijing may offer non-zero sum cooperation in tactical matters, but as a means for a zero sum strategic end.

Taiwan stocks on fire on China Mobile-Far EasTone deal plan , Market Watch
China Mobile to buy stake in Taiwanese operator , PC World
Regulations on Chinese investment to be released late May, The China Post
On Chinese zero sum diplomacy , The Taipei Times
Taiwan shares end sharply up on China invest hopes,2Q outlook, The Wall Street Journal