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In 1895, military defeat forced China to cede Taiwan to Japan. Taiwan reverted to Chinese control after World War II. Following the Communist victory on the mainland in 1949, 2 million Nationalists fled to Taiwan and established a government using the 1947 constitution drawn up for all of China. Over the next five decades, the ruling authorities gradually democratized and incorporated the local population within the governing structure. In 2000, Taiwan underwent its first peaceful transfer of power from the Nationalist to the Democratic Progressive Party. Throughout this period, the island prospered and became one of East Asia's economic "Tigers." The dominant political issues continue to be the relationship between Taiwan and China - specifically the question of Taiwan's eventual status - as well as domestic political and economic reform.
Eastern Asia, islands bordering the East China Sea, Philippine Sea, South China Sea, and Taiwan Strait, north of the Philippines, off the southeastern coast of China
air pollution; water pollution from industrial emissions, raw sewage; contamination of drinking water supplies; trade in endangered species; low-level radioactive waste disposal
includes main island of Taiwan plus smaller islands nearby and off coast of China's Fujian Province; Taiwan is divided into 18 counties (hsien, singular and plural), 5 municipalities (shih, singular and plural), and 2 special municipalities (chih-hsia-shih, singular and plural)
note:Taiwan uses a variety of romanization systems; while a modified Wade-Giles system still dominates, the city of Taipei has adopted a Pinyin romanization for street and place names within its boundaries; other local authorities use different romanization systems; names for administrative divisions that follow are taken from the Taiwan Yearbook 2007 published by the Government Information Office in Taipei.
chief of state: President MA Ying-jeou (since 20 May 2008); Vice President Vincent SIEW (since 20 May 2008)
head of government:
Premier (President of the Executive Yuan) WU Den-yih (since 10 September 2009); Vice Premier (Vice President of Executive Yuan) CHU Li-luan (Eric CHU) (since 10 September 2009)
cabinet:
Executive Yuan - (ministers appointed by president on recommendation of premier)
elections:
president and vice president elected on the same ticket by popular vote for four-year terms (eligible for a second term); election last held on 22 March 2008 (next to be held in March 2012); premier appointed by the president; vice premiers appointed by the president on the recommendation of the premier
election results:
MA Ying-jeou elected president; percent of vote - MA Ying-jeou 58.45%, Frank HSIEH 41.55%
unicameral Legislative Yuan (113 seats - 73 district members elected by popular vote, 34 at-large members elected on basis of proportion of islandwide votes received by participating political parties, 6 elected by popular vote among aboriginal populations; members to serve four-year terms); parties must receive 5% of vote to qualify for at-large seats
elections:
Legislative Yuan - last held on 12 January 2008 (next to be held in December 2011 or January 2012)
election results:
Legislative Yuan - percent of vote by party - KMT 53.5%, DPP 38.2%, NPSU 2.4%, PFP 0.3%, others 1.6%, independents 4%; seats by party - KMT 81, DPP 27, NPSU 3, PFP 1, independent 1; note - seats by party as of April 2010 - KMT 74, DPP 33, NPSU 1, PFP 1, independent 2
Democratic Progressive Party or DPP [TSAI Ing-wen]; Kuomintang or KMT (Nationalist Party) [MA Ying-jeou]; Non-Partisan Solidarity Union or NPSU [LIN Pin-kuan]; People First Party or PFP [James SOONG]
environmental groups; independence movement; various business groups
note:debate on Taiwan independence has become acceptable within the mainstream of domestic politics on Taiwan; political liberalization and the increased representation of opposition parties in Taiwan's legislature have opened public debate on the island's national identity; a broad public consensus has developed that the government enjoys popular sovereignty and - whatever the ultimate outcome regarding unification or independence - that Taiwan's people must have the deciding voice; public opinion polls consistently show a substantial majority of Taiwan people supports maintaining Taiwan's status quo for the foreseeable future; advocates of Taiwan independence oppose the stand that the island will eventually unify with mainland China; goals of the Taiwan independence movement include establishing a sovereign nation on Taiwan and entering the UN; advocates of eventual unification predicate their goal on the democratic transformation of the mainland
none; commercial and cultural relations with the people in the United States are maintained through an unofficial instrumentality, the Taipei Economic and Cultural Representative Office in the United States (TECRO), a private nonprofit corporation that performs citizen and consular services similar to those at diplomatic posts
representative:
Jason C. YUAN
office:
4201 Wisconsin Avenue NW, Washington, DC 20016
telephone:
[1] 202 895-1800
Taipei Economic and Cultural Offices (branch offices):
Atlanta, Boston, Chicago, Guam, Houston, Honolulu, Kansas City, Los Angeles, Miami, New York, San Francisco, Seattle
none; commercial and cultural relations with the people on Taiwan are maintained through an unofficial instrumentality, the American Institute in Taiwan (AIT), a private nonprofit corporation that performs citizen and consular services similar to those at diplomatic posts
director:
William A. STANTON
office:
#7 Lane 134, Hsin Yi Road, Section 3, Taipei, Taiwan
Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. In keeping with this trend, some large, state-owned banks and industrial firms have been privatized. Exports, led by electronics and machinery, generate about 70% of Taiwan's GDP growth, and have provided the primary impetus for economic development. This heavy dependence on exports makes the economy vulnerable to downturns in world demand. In 2009, Taiwan's GDP fell by 2.5%, due primarily to a 20% year-on-year decline in exports. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but so far Taiwan has been excluded from this greater economic integration, largely for reasons of diplomacy. Taiwan's birth rate of only 1.2 child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 10.8% of the island's total population as of the end of 2009. The island runs a large trade surplus, and its foreign reserves are the world's fourth largest, behind China, Japan, and Russia. Since President MA Ying-jeou took office in May 2008, cross-Strait economic ties have increased significantly. Since 2005 China has overtaken the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taipei has focused much of its economic recovery effort on improving cross-Strait economic integration. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the Mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. In January 2010, Taipei and Beijing began the first round of cross-Strait negotiations on an economic cooperation framework agreement.
international:
country code - 886; roughly 15 submarine fiber cables cables provide links throughout Asia, Australia, the Middle East, Europe, and the US; satellite earth stations - 2
19-35 years of age for male compulsory military service; service obligation 14 months (reducing to 1 year in 2009); women may enlist; women in Air Force service are restricted to noncombat roles; reserve obligation to age 30 (Army); the Ministry of Defense has announced plans to implement an incremental voluntary enlistment system beginning 2010, with 10% fewer conscripts each year thereafter, although nonvolunteers will still be required to perform alternative service or go through 3-4 months of military training (2009)
involved in complex dispute with Brunei, China, Malaysia, the Philippines, and Vietnam over the Spratly Islands, and with China and the Philippines over Scarborough Reef; the 2002 "Declaration on the Conduct of Parties in the South China Sea" has eased tensions but falls short of a legally binding "code of conduct" desired by several of the disputants; Paracel Islands are occupied by China, but claimed by Taiwan and Vietnam; in 2003, China and Taiwan became more vocal in rejecting both Japan's claims to the uninhabited islands of the Senkaku-shoto (Diaoyu Tai) and Japan's unilaterally declared exclusive economic zone in the East China Sea where all parties engage in hydrocarbon prospecting
regional transit point for heroin, methamphetamine, and precursor chemicals; transshipment point for drugs to Japan; major problem with domestic consumption of methamphetamine and heroin; rising problems with use of ketamine and club drugs
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