Taiwan
For all practical purposes, the island of Taiwan has been independent for half a century but China regards it as a part of Chinese territory that must be re-united with the mainland. Legally, most nations - and the UN - acknowledge the position of the Chinese government that Taiwan is a province of China, and as a result Taiwan has formal diplomatic relations with only 24 countries - Pacific, South American and African states in the main - and no seat at the UN.
The Chinese nationalist government of President Chiang Kai-shek fled to Taiwan ahead of the advance of the communists under Mao Zedong in 1949. The government-in-exile established Taipei as its capital and for decades hoped to reclaim control over the mainland. In the early 1990s Taiwan made the transition from an authoritarian one-party state to a democracy. Direct presidential elections were introduced and in 2005 the National Assembly - the once-powerful body that approved Nationalist presidential nominees - was disbanded.
China has sanctioned the use of force against Taiwan if it moves toward declaring statehood. Taiwan's president has warned that more than 700 Chinese missiles are aimed at the island. The military threat is partly offset by the pivotal relationship between Taipei and Washington. The US, which has no diplomatic ties with Taiwan, is nevertheless the main provider of arms to the island - one of the world's big arms purchasers.
Tensions notwithstanding, Taiwan and China enjoy healthy trade links. China is Taipei's number one export market. Although China insists that no state can have formal ties with both mainland China and Taiwan, this diplomatic isolation has not prevented Taiwan from becoming one of Asia's big traders. Taiwan is considered to have achieved an economic miracle, becoming one of the world's top producers of computer technology.
Oil is the dominant fuel in Taiwan's energy mix, accounting for 49% of total primary energy consumption. Coal also plays an important role (32% of total energy consumption), followed by nuclear power (11%), natural gas (6%), and hydroelectric power (3%). Taiwan has very limited domestic energy resources and relies on imports for most of its energy requirements. The country's industrial sector accounts for more than half of total energy demand, but this share is expected to decline slightly, since Taiwan's economy is moving toward newer, less energy-intensive industries. The transportation sector accounts for one-quarter of total energy demand.
President Chen Shui-bian, from the Democratic Progressive Party (DPP), won re-election in March 2004 for a second, and final, term by a margin of just 0.2%. Chen does not accept Beijing's position that there is one China, of which Taiwan is a part. The Nationalist Party (Kuomintang) and its allies, which favor closer ties with Beijing, gave his DPP a drubbing in local and parliamentary polls. Beijing, which refuses to deal with Chen because of his stance, has also been angered by Mr Chen's proposal to hold a public vote on a new constitution. Beijing sees constitutional change as a dangerous step towards formal statehood; the president says a new charter would aim to create a suitable political system for Taiwan.
Chen has also been beset by corruption allegations involving his family. This prompted him to surrender some of his powers, including control of the cabinet, to the prime minister in May 2006. Since then, he has survived two attempts by opposition parties to force a referendum on his rule. For information on extensive political protests calling for Chen’s resignation, see “Recent Incidents” below.
The president appoints the prime minister, who runs day-to-day affairs. The president is head of the military and is responsible for Taiwan's policy towards Beijing.
Taiwan is in an active earthquake zone (in September 1999, a major earthquake killed over 2,300 people). Most tremors are very minor. Taiwan also experiences frequent tropical storms and typhoons that could disrupt travel.
The leadership of mainland China has reserved the right to use force to bring Taiwan under its control, and has missiles aimed at the island (see “Background” above).
Political demonstrations in Taiwan are common (see “Recent Incidents” below) and mainly peaceful, but often very disruptive to transport. Protesters deliberately block traffic flow, with organizers recruiting transport drivers to slow down major routes, and at times target routes leading to the airport.
