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C O N F I D E N T I A L SECTION 01 OF 02 BEIJING 000773 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 02/01/2032 
TAGS: PREL MARR CH TW
SUBJECT: MFA CONCERNED ABOUT REPORTED U.S. SUPPORT  FOR 
TAIWAN CAPABILITIES TO "ATTACK" MAINLAND 
 
 
Classified By: DCM David Sedney.  Reasons 1.4 (b/d). 
 
Summary 
------- 
 
¶1. (C)  MFA North Americas Director General Liu Jieyi 
expressed concern to the DCM over Taiwan media reports 
alleging U.S. support for Taiwan's development of 
long-range attack capabilities.  DG Liu cited reports 
of U.S. civilian companies' plans to sell equipment 
for Taiwan's Xiong Feng long-range cruise missile 
which is capable of hitting Beijing.  He also objected 
to reported U.S. plans to sell precision-guided bombs 
and F-16 C/D fighters to Taiwan and to reported U.S. 
assistance to improve Taiwan's attack capabilities via 
the Pave Paws radar.  Liu sought clarification and 
warned that proceeding with any such sales would harm 
China's national security interests and damage 
bilateral relations.  The DCM reiterated the U.S. 
commitment to upholding our one China policy, said he 
had not seen any such press reports and pointed out 
that the United States does sell defensive arms to 
Taiwan and that those sales help ensure cross-Strait 
stability.  Liu stressed that the Chinese concerns 
were related to U.S. support for developing Taiwan 
capabilities that could be used to "attack" the 
Mainland.  In the last three years, this is the first 
time that the Chinese Government has expressed 
concerns to us about an "attack" from Taiwan.  End 
summary. 
 
¶2.  (C)  MFA North American Affairs Director General 
Liu Jieyi called in the DCM on February 1 to voice 
Chinese Government concerns over Taiwan press reports 
alleging U.S. plans to augment Taiwan's long-range 
offensive weapons capability through sales of defense- 
related articles and enhanced military cooperation. 
Reading from a Chinese-language text, DG Liu said that 
Taiwan media, quoting "Ministry of Defense" sources, 
claims that the United States may sell software and 
spare parts and satellite navigation systems through 
civilian U.S. companies.  These sales would be to 
assist the Taiwan military in its research and 
development efforts related to the development of a 
long-range cruise missile, the Xiong Feng IIE.  This 
missile has a range of 2000 km, which can reach 
Beijing, Liu said. 
 
¶3.  (C)  The Taiwan media reports also note U.S. 
intentions to sell precision-guided bombs and F-16 C/D 
fighter aircraft to Taiwan and gradually increase the 
transfer of U.S. military technology to Taiwan, Liu 
continued.  Reports note that the Taiwan military is 
in the process of building up a base for long-range 
warning radar purchased from the United States, which 
will give Taiwan, for the first time, a long-range 
attack capability and will raise the "sub military 
alliance" between the United States and Taiwan to a 
"military alliance." 
 
¶4.  (C) China is seriously concerned about these 
reports, Liu said, noting that he was under 
instructions to make these points and seek 
clarification from the U.S. Government.  China 
consistently and firmly opposes weapons sales to 
Taiwan.  Such sales contravene the three Sino-U.S. 
joint communiques, particularly the August 17 
communique.  Arms sales to Taiwan endanger China's 
national security and the cause of peaceful 
unification, increase the adventurousness of the 
splittist forces on Taiwan and seriously affect the 
healthy and stable development of U.S.-China 
relations. 
 
¶5.  (C) At a time when Chen Shui-bian is 
unscrupulously accelerating the pace of de jure Taiwan 
independence and the cross-Strait issue is highly 
sensitive, the above-mentioned sales would send a 
seriously wrong signal to Chen Shui-bian and the 
secessionist forces, embolden them to step up Taiwan 
independence-related activities and pose a serious 
threat to stability across the Strait and to U.S.- 
China relations.  This would entail serious 
consequences that neither the United States nor China 
would like to see, Liu stated. 
 
¶6.  (C) China expresses its dissatisfaction and firm 
opposition to any possible sales such as those 
mentioned in these media reports, Liu said.  Bilateral 
relations between the United States and China are 
currently stable and developing.  The two sides have 
 
BEIJING 00000773  002 OF 002 
 
 
seen fruitful consultation and cooperation on 
important international and regional issues such as 
the DPRK nuclear issue and the Iranian nuclear issue. 
Cooperation on important bilateral issues continues. 
If the United States provides advanced military 
technology to Taiwan to increase Taiwan's long-range 
attack capabilities and takes action to harm the 
interests of China on the core issue of Taiwan, it 
will run counter to the common understanding reached 
by our two leaders to push forward constructive, 
cooperative bilateral relations, will seriously harm 
the security interests of China and will harm 
cooperation between the United States and China in 
important areas.  This should be clear to the United 
States. 
 
¶7.  (C)  China requests that the United States attach 
importance to this issue, urges the United States to 
recognize and value the importance and serious nature 
of the cross-Strait situation and the serious harm 
that U.S.-Taiwan military cooperation and U.S. weapons 
sales to Taiwan will bring to the bilateral 
relationship.  China asks that the United States honor 
its commitments to stop military exchanges and 
cooperation with Taiwan, stop arms sales, reaffirm its 
commitment not to transfer military equipment to 
Taiwan and not send any wrong signals to splittist 
forces in Taiwan so as to avoid harming cross-Strait 
stability, the bilateral relationship and our 
cooperation in many areas. 
 
¶8.  (C) The DCM promised to report the Chinese 
Government's views to Washington.  He said that he had 
not seen the Taiwan media reports that DG Liu 
referenced and cautioned Liu on relying on the Taiwan 
media for accurate information.  The United States' 
one China policy remains unchanged as President Bush 
has made clear.  We are committed to our one China 
policy based on the three Sino-U.S. joint communiques 
and the Taiwan Relations Act.  The United States 
supports a peaceful resolution of the Taiwan issue 
acceptable to people on both sides of the Strait.  We 
do not support Taiwan independence, oppose unilateral 
changes to the status quo and urge both sides to 
undertake active efforts to reduce tensions across the 
Strait and move toward a peaceful resolution. 
 
¶9.  (C) The DCM told DG Liu that the United States 
does sell defensive weapons to Taiwan.  We view these 
sales as positive contributions to maintaining cross- 
Strait stability. 
 
No Wrong Signals to Chen Shui-bian 
---------------------------------- 
 
¶10.  (C)  Liu reminded the DCM of China's consistent 
opposition to the Taiwan Relations Act and reiterated 
that it is in the United States and China's interest 
to see that no wrong signals are sent that will 
embolden Chen Shui-bian.  As detailed in Chen's recent 
CNN interview, he plans to rewrite the Constitution 
and continue to pursue de jure independence.  Chen's 
reference in the interview to the good relations and 
excellent communication between the United States and 
Taiwan was meant to create the impression that he has 
the backing of the United States for his plans, Liu 
asserted.  Chen Shui-bian is "a tricky person," who 
will exploit any wrong signal, Liu stated, so wrong 
signals are to be avoided. 
 
¶11.  (C) The United States attaches importance to its 
positive relations with Taiwan, the DCM noted, citing 
many previous discussions on this theme.  The 
achievements of the people of Taiwan, including their 
economy, free press and vibrant democracy, are admired 
by Americans.  We support these goals for all people. 
With regard to the sensitivity of cross-Strait 
relations, the United States is very aware of the 
importance of the issue, acts responsibly and has 
worked very hard to maintain cross-Strait stability 
and will continue to do so. 
 
RANDT