VZCZCXRO1301
RR RUEHCN
DE RUEHIN #0261/01 0250847
ZNR UUUUU ZZH
R 250847Z JAN 06
FM AIT TAIPEI
TO RUEHC/SECSTATE WASHDC 8212
INFO RUEHBJ/AMEMBASSY BEIJING 4589
RUEHUL/AMEMBASSY SEOUL 7576
RUEHKO/AMEMBASSY TOKYO 7384
RUEHCN/AMCONSUL CHENGDU 1017
RUEHGZ/AMCONSUL GUANGZHOU 8931
RUEHHK/AMCONSUL HONG KONG 5789
RUESLE/AMCONSUL SHANGHAI 8332
RUEHSH/AMCONSUL SHENYANG 4938
RHHMUNA/USPACOM HONOLULU HI
RHHJJAA/JICPAC HONOLULU HI
RHEFDIA/DIA WASHINGTON DC
RUEAIIA/CIA WASHDC
RUEKJCS/SECDEF WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHDC

UNCLAS SECTION 01 OF 03 TAIPEI 000261 
 
SIPDIS 
 
SIPDIS 
 
STATE PASS USTR 
STATE FOR EAP/TC, 
USTR FOR WINTER AND WINELAND, 
TREASURY ALSO PASS TO FEDERAL RESERVE/BOARD OF GOVERNORS, 
AND SAN FRANCISCO FRB/TERESA CURRAN 
 
E.O. 12958: N/A 
TAGS: EINV ETRD ECON PREL TW
SUBJECT: NEW ECON CABINET IN TAIWAN 
 
REF: TAIPEI 
 
¶1.   This cable supplements ref A report on 
Taiwan's new cabinet.  It provides background information 
on the new economic ministers in the cabinet. 
 
New Economic Cabinet Officials 
------------------------------ 
 
¶2. (U) New economic/financial cabinet members appointed in 
Taiwan's latest cabinet reshuffle include: 
 
--Vice Premier: Tsai Ing-wen replaces Wu Rong-I; 
--Executive Yuan (EY) Secretary General: Liu Yu-shan 
replaces Cho Jung-tai; 
--Minister of Economic Affairs: Morgan Hwang (Ing-san) 
replaces Ho Mei-yueh; 
--Finance Minister: Joseph Lyu (Jye-cherng) replaces Lin 
Chuan; 
--Minister of Transportation and Communications: Kuo Yao- 
chi replaces Lin Ling-san; 
--National Science Council Chairman: Chen Chien-jen 
replaces Wu Maw-kuen; 
--Public Construction Commission (PCC) Chairman: Wu Che- 
cheng replaces Kuo Yao-chi 
--Council of Agriculture (COA) Chairman: Su Chia-chuan 
replaces Lee Ching-lung; 
--Minister Without Portfolio: Ho Mei-yueh 
 
EY Secretary General (SG) Liu Yu-shan 
------------------------------------- 
 
¶3. (U) Prior to his appointment as Deputy SG of the EY over 
six years ago, Liu, 62, was an economic planning officer 
for nearly 30 years.  He joined the Urban and Housing 
Development Department (UHDD) of the Council for Economic 
Planning and Development (CEPD) as a specialist right after 
he earned his first master's degree in urban planning from 
National Chungshing University in 1970.  Subsequently, he 
was promoted to Deputy Director of UHDD in 1983, CEPD SG in 
1991, and Vice Chairman of CEPD in 1996.  He was appointed 
Deputy SG of the EY in 1999.  Liu earned his second 
master's degree in systems engineering from the Asian 
Institute of Technology (Bangkok) in 1974 and a doctorate 
in civil engineering from National Chengkung University in 
¶1985.  Of the new cabinet members with economics 
backgrounds, Liu is one of two who is not a member of the 
ruling Democratic Progressive Party (DPP).  His KMT Party 
membership expired in 2003 because he did not renew his 
registration as required by the party.  Liu has 
demonstrated an ability to coordinate interagency 
operations.  He is easy-going and dedicated to his family. 
He enjoys swimming, golfing and hiking with his wife.  Speaks 
English at the 3-plus level. 
 
Minister of Economic Affairs Morgan Hwang (Ing-san) 
--------------------------------------------- ------ 
 
¶4. (U) Hwang, 65, has served as Chairman of two state-owned 
enterprises over the past four years.  In 2002, two 
prominent business leaders, Jeffrey Koo, Sr. and Chinese 
National Federation of Industries Chairman Hsu Sheng- 
hsiung, recommended him to the DPP Government for the 
position of Chairman of Taiwan Tobacco and Liquor 
Corporation (TTLC).  Hwang joined the DPP upon taking that 
position.  In early 2005, he was transferred to Chairman of 
Taiwan Power Company (TPC).  TPC reported NT$7 billion of 
pre-tax profits that year, even though the firm had 
projected a loss of NT$6.1 billion when planning in its 
2005 budget.  Prior to joining TTLC, Hwang taught business 
beginning in 1987.  He was a department chairman at National 
 
TAIPEI 00000261  002 OF 003 
 
 
Chungshing University and then Dean of the Business College 
at National Taipei University.  Prior to 1987, Hwang had a 
20-year career in business, serving as Vice President of 
Marketing for Sampo, one of Taiwan's largest household 
electrical appliance firms, and President of Chunghwa Color 
Printing Company.  Hwang earned a bachelor's degree in 
economics from National Chungshing University and an MBA 
and Ph. D. from National Chengchi University.  Speaks English 
at the 4-plus level. 
 
Finance Minister Joseph Lyu (Jye-cherng) 
---------------------------------------- 
 
¶5. (U) Lyu, 50, has been working in state-owned enterprises 
for the past six years.  After the DPP came to power in 
2000, Lyu took positions as board director for two state- 
owned enterprises, Chunghwa Telecom and China Airlines.  He 
was appointed Senior Executive Vice President of Chunghwa 
Telecom in 2001.  In 2002, Lyu became Vice Chairman of the 
Commission of National Corporations, an agency that 
oversees state-owned manufacturing enterprises.  Then in 
2003, he was appointed President of the state-owned Land 
Bank of Taiwan, the largest bank on the island.  He was 
promoted to Chairman in 2004.  In addition, Lyu has been 
active in Taiwan's efforts to build foreign relations, 
organizing the Taiwan-Russia Association and the Taiwan- 
Mongolia Association.  Prior to 2000, Lyu was a senior 
executive at several foreign banks in Taipei, including BNP 
Paribas, New York Bank, and KBC Bank N.V.  Lyu belongs to 
the Presbyterian Church and is a DPP member.  He earned a 
bachelor's degree in financial management from National 
Chengchi University and an MBA from Northwest University. 
Speaks excellent English. 
 
Minister of Transportation & Communications Kuo Yao-chi 
--------------------------------------------- ---------- 
 
¶6. (U) Kuo, 50, has been a dedicated follower of President 
Chen Shui-bian since he became Mayor of Taipei in 1994. 
Chen appointed her Chief Secretary of the Taipei Municipal 
Bureau of Public Works in February 1995 and then Director 
of the Taipei Municipal Department of Public Housing in 
October that year.  When Chen was elected President in 
2000, Kuo was named Director of the President's Public 
Affairs Office.  She was promoted to Chairman of the Public 
Construction Commission in early 2002 and also served as 
Chairman of the September 21 Earthquake Reconstruction 
Commission later that year.  She is one of the few second- 
generation "mainlanders" (with parents born in China) to 
join the DPP Party.  She earned a bachelor's degree in 
urban planning from National Chengkung University and a 
master's degree in the same field at the University of 
London.  She is hard working, enjoys singing, and is an 
accomplished pianist.  Not comfortable in English. 
 
National Science Council Chairman Chen Chien-jen 
--------------------------------------------- --- 
 
¶7. (U) Chen, 55, returns to government after one year of 
teaching at the Medical School of National Taiwan 
University (NTU).  From early 2003 to 2005, Chen was 
Minister of the Department of Health (DOH), appointed at 
the start the SARS crisis.  He led almost single-handedly 
a rapid improvement in the SARS response of DOH, Taiwan CDC, 
and the Taiwan hospital system.  Chen previously worked at 
the 
National Science Council, starting in 1997 as Director of 
the Biology Development Department and then Vice Chairman 
of the Council from 2000.  Chen's prior experience includes 
teaching and research at Academia Sinica and National 
Taiwan University as well as Johns Hopkins, Tulane and 
 
TAIPEI 00000261  003 OF 003 
 
 
Columbia Universities in the United States.  Chen is 
neither a member of the DPP nor the KMT.  However, his 
father, Chen Shin-an, was a prominent KMT member and 
Kaohsiung County Magistrate in the 1970s.  Chen earned a 
bachelor's degree in animal science from NTU, a master's 
degree in public health from National Taiwan University and 
a doctorate in epidemiology from Johns Hopkins.  Speaks 
excellent English. 
 
PCC Chairman Wu Che-cheng 
-------------------------- 
 
¶8. (U) Until the December 2005 local elections in Taiwan, 
Wu, 55, was Senior Deputy Magistrate of Taipei County, first 
under DPP County Magistrate Su Tseng-chang and then under Su's 
appointed successor Lin Hsi-yan.  He has been teaching at 
National Taipei University since the KMT candidate, Chou 
Shih-wei, won the county magistrate elections.  Wu was a 
close advisor to Su, serving as Director of the County 
Department of Public Construction Works, Chief Secretary, 
and finally Senior Deputy Magistrate.  Wu was highly 
regarded for his work to address flooding problems and the 
construction of riverside parks along the Tamshui River. 
Not comfortable in English. 
 
COA Chairman Su Chia-chuan 
-------------------------- 
 
¶9. (U) Su, 49, was appointed as Interior Minister in 
¶2004.  Su served as Pingtung County Magistrate for 
seven years.  His political career began when he joined 
anti-KMT movement 22 years ago.  In 1986, he was elected to 
the National Assembly and chairman of the DPP's Pingtung 
County chapter.  Su was elected to the Legislative Yuan in 
1993 and Pingtung County Magistrate in 1997.  He won 
reelection in 2001.  Because Pingtung County is one of 
Taiwan's major farming regions, Su has significant 
experience in agricultural policy.  Su graduated from 
National Taiwan Ocean University with a bachelor's degree 
in fishing and aquaculture.  He also earned a master's 
degree in public administration from National Sun Yat-sen 
University.  Press reports indicate Su had been torn between 
accepting the post of COA chairman and seeking the DPP 
candidacy in this December's election for Kaohsiung mayor. 
Not comfortable in English. 
 
Minister Without Portfolio Ho Mei-yueh 
-------------------------------------- 
 
¶10. (U) Ho, 55, was appointed as Minister of Economic 
Affairs in 2004.  Before that, she served as Vice Chairman of 
the Council for Economic Planning and Development for four 
years.  Previously, Ho spent three years as Director of the 
EY's Fifth Department (in charge of economic issues).  Ho 
came to the EY with 22 years of experience working at the 
Industrial Development Bureau (IDB), where she rose from a 
junior officer to Deputy Director General.  She joined the 
DPP Party two years ago.  Ho earned a bachelor's degree in 
agricultural chemistry at National Taiwan University. 
Speaks English at the 4 level. 
KEEGAN