Since the ROC government relocated to Taiwan in 1949, it has exercised sovereignty only over Taiwan proper and a few smaller islands, while the mainland has been under the control of the authorities in Beijing. Beginning with the acceleration of Taiwan’s democratization in the late 1980s, the government and citizens have striven to promote friendly, mutually beneficial exchanges with the mainland. Many restrictions have been lifted on economic exchanges across the Taiwan Strait over the past two decades. These days, Taiwan is one of the biggest investors in mainland China, and some one million Taiwanese managerial and technical experts and their families live and work there.
Aiming to strengthen the ROC’s contributions to regional peace and stability, the administration of President Ma Ying-jeou, who took office in May 2008, has striven to cultivate closer and more amicable relations with mainland China under the principle of “putting Taiwan first for the benefit of the people.” The two governments across the strait have since focused on issues of immediate, practical importance to both Taiwan and mainland China and put aside thorny sovereignty issues.
Substantial progress has been made in cross-strait exchange and cooperation through dialogue between Taiwan’s semi-official Straits Exchange Foundation (SEF) and mainland China’s Association for Relations Across the Taiwan Strait (ARATS). The first round of talks, held in Beijing in June 2008, marked the resumption of institutionalized negotiations between the two sides and a historic breakthrough in cross-strait interaction. In November, the second round of negotiations concluded in Taipei with the signing of four agreements covering direct air and sea transportation links, postal services and food safety. The Taipei talks were significant in that they marked the first time an ARATS team had set foot in Taiwan—a clear sign that both sides recognize how essential parity and reciprocity are in their interactions. During the third round of negotiations in Nanjing in April 2009, three agreements were signed, on expansion of cross-strait passenger and cargo flights, financial cooperation, and joint crime-fighting and mutual judicial assistance. A joint statement was also issued on opening Taiwan to mainland investment.
During the first year of the new administration, direct passenger and cargo charter flights between cities on opposite sides of the strait were launched, direct shipping links put in place, cross-strait postal services expanded, Chinese mainland media correspondents stationed in Taiwan, and the number of Chinese mainland tourist visits to Taiwan increased dramatically. Financial restrictions were also eased, making Chinese yuan exchange services available in Taiwan. These developments underscore a change in the attitude of authorities in both Taipei and Beijing that is conducive to fostering cooperation and building mutual trust.
