Building a future on mutual understanding

By He Na and Hu Meidong (China Daily) Updated: 2015-11-03 08:15

Chen Deming (center left), president of the Association for Relations across the Taiwan Straits, based on the Chinese mainland, and Lin Join-sane (center right), chairman of the Straits Exchange Foundation, from Taiwan, greet partipants at a meeting to celebrate the signing of agreements on aviation safety and the avoidance of dual taxation. Hu Meidong / China Daily

Understanding reached

Another breakthrough came in November 1992. The Association for Relations Across the Taiwan Straits, based on the mainland, and the Straits Exchange Foundation in Taiwan reached an understanding that they would both endorse the statement that "both sides of the Taiwan Straits adhere to the 'one-China' policy", said Chen Deming, president of ARATS.

The declaration, known as the 1992 Consensus, became the political cornerstone of subsequent cross-Straits relations.

The process received a setback four years later though, when regular bilateral meetings were suspended after Taiwan's then "president", Lee Teng-hui, put forward the "two states" theory that defined the cross-Straits relationship as a "State-to-State" endeavor. Talks did not resume until 2008.

New agreements

The latest round of talks between leaders of the negotiating bodies - the 11th since 2008 - was held in August. Chen, of ARATS, and Lin Join-sane, chairman of the SEF, met in Fuzhou, Fujian province, and signed agreements on aviation safety and the avoidance of dual taxation. Since the resumption of talks, the two sides have reached 23 agreements.

"Communications have speeded up in recent years, but the negotiating process is still very slow," said Ni Yongjie, deputy director of the Shanghai Institute of Taiwan Studies.

In August, an agreement was signed that outlined rules to ensure that residents would be exempt from dual taxation on income derived from cross-Straits economic exchanges.

Taiwan's finance department estimated that the agreement would help reduce the annual tax burden on businesses in Taiwan by NT$3.9 billion ($120 million).

Despite the obvious benefits to Taiwan, the negotiations lasted more than six years, according to Zheng Lizhong, vice-president of ARATS.

"We made tremendous efforts to reach an agreement that would benefit people on both sides of the Straits, but especially in Taiwan. We hope that Taiwan will conclude the relevant procedures to ensure the agreement can take effect and be implemented as soon as possible," he said.

Zheng's comment was prompted by concerns about the pace at which new agreements are implemented, especially after the media pointed out that the agreement on cross-Straits trade in goods under the Economic Cooperation Framework Agreement has yet to come into effect, despite having been signed by both sides in 2013.

Chen said the agreements would benefit all parties, and the implementation of prev-ious agreements had deepened mutual trust and understanding. At the same time, he said, the problems have become more complex and negotiations have become increasingly difficult.

Lin said the SEF's determination to promote peaceful, stable and prosperous cross-Straits relations remains undimmed, despite frictions last year.