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C O N F I D E N T I A L SECTION 01 OF 02 TAIPEI 000003 
 
SIPDIS 
 
STATE FOR EAP/TC 
STATE PASS USTR FOR STRATFORD AND WINELAND, TREASURY FOR 
OASIA/MPISA, 
NSC FOR LOI, COMMERCE FOR 4431/ITA/MAC/AP/OPB/TAIWAN, USDA 
FOR FAS/OCRA RADLER AND BEILLARD 
 
E.O. 12958: DECL: 12/31/2018 
TAGS: PREL ECON ETRD EAGR PGOV TW CH
SUBJECT: TAIWAN PRESIDENT MA OFFERS OPTIMISM ON WHA, 
"ACTION" ON U.S. BEEF 
 
TAIPEI 00000003  001.2 OF 002 
 
 
Classified By: The Director for reasons 1.4(b/d) 
 
¶1. (C) Summary.  Taiwan is likely to make progress on its 
desire for more meaningful participation in the activities of 
the WHA and WHO, President Ma Ying-jeou told the Director 
during a cordial 45-minute meeting December 31.  The 
President promised action in early January on efforts to open 
fully Taiwan,s market to U.S. beef, by posting on the Health 
Department website the complete, and very positive, risk 
assessment.  The Director praised Taiwan,s accession to the 
WTO Government Procurement Agreement (GPA), noting that there 
had been very little domestic blowback from the decision. 
Though he promised to keep the door open, Ma expressed doubt 
that opposition DPP party head Tsai Ing-wen would accept his 
offer to meet "anywhere, anytime, on any issue.8  End 
Summary. 
 
Cross-Strait Priorities: WHO and Economics 
------------------------------------------ 
 
¶2. (C) Taiwan,s cross-Strait goals for the first half of 
2009 are to make further progress on economic and financial 
issues and secure some kind of participation in the WHA/WHO, 
President Ma Ying-jeou told the Director during a cordial 
45-minute December 31 meeting.  On the question of Taiwan,s 
participation in the WHO, Ma expressed confidence that Taiwan 
and China could reach a deal before the May 2009 WHA Assembly 
in Geneva.  Ma confirmed that he did not have a special 
channel with Beijing to discuss WHO and other international 
space issues.  However, a series of visitors, including KMT 
Chairman Wu Poh-hsiung at the December 20-21 Cross-Strait 
Forum in Shanghai, have made clear to China the importance 
Taiwan attaches to the issue.  Ma noted Beijing,s hesitancy 
is driven by concerns that making concessions to a KMT-led 
Taiwan could hurt China,s interests in the event of a DPP 
return to power.  Likewise, China fears allowing Taiwan 
access to the WHO would be &the first domino8 ) setting a 
precedent that undermines PRC claims to be the sole, 
sovereign representative of China.  Finally, Ma acknowledged, 
Hu Jintao must still deal cautiously with hardliners - on 
Taiwan, in MFA, the PLA and elsewhere. 
 
¶3. (C) Work was progressing on other areas of cross-Strait 
ties, Ma said, with the goal of concluding deals on an MOU on 
financial services, fisheries cooperation, combating 
cross-Strait crime and an air transport arrangement at the 
next SEF-ARATS meeting.  Taiwan,s strategy is to have 
individual ministries identify issues for resolution, with 
those ready to be negotiated turned over to the SEF-ARATS 
channel.  Ma went into some detail on the air transport 
agreement, noting that it would likely be limited to allowing 
scheduled flights rather than just regular charters.  While 
Taiwan was interested in securing &Fifth Freedom8 rights 
for Taiwan airlines flying to the PRC but, given strong 
opposition from Chinese commercial interests, it seemed 
unlikely the PRC would agree to such a provision and time 
soon.  The Director advised Ma to urge his negotiators to 
make clear Taiwan,s principled position on the issue, to put 
the PRC on notice that Taiwan would continue to push for the 
right in the future. 
 
&Action8 on Beef 
---------------- 
 
¶4. (C) Asked about the timeline for opening Taiwan,s market 
completely to U.S. beef, Ma promised the Director he would 
&see action in January.8  Pressed for specifics, he said 
the Ministry of Health (MOH) would post its risk assessment 
 
TAIPEI 00000003  002.2 OF 002 
 
 
on its website.  This endorsement of the assessment,s 
conclusion that there was "almost no risk" associated with 
eating U.S. beef was a significant step, Ma argued.  At the 
same time, the MOH would likely renew its call for the United 
States to take its own case directly to Taiwan consumers. 
Taiwan would open its market, the President insisted, but it 
was essential to take the time needed to prepare the public 
for the decision, to avoid the problems that occurred in 
Korea.  The Director told Ma he will follow up directly after 
the New Year with Department of Health Minister Yeh 
Chin-chuang and asked the President to do the same. 
 
GPA: Little Opposition, Big Benefit 
----------------------------------- 
 
¶5. (C) The Director noted that, despite the government,s 
earlier concerns, Taiwan,s recent decision to join the WTO 
Government Procurement Agreement (GPA) sparked very little 
opposition.  He congratulated Ma on his courage in taking a 
step that would lower the cost and raise the quality of a 
number of infrastructure projects on the island and allow 
Taiwan companies to compete for projects worldwide.  In a 
recent meeting, the Director said, he urged opposition DPP 
party head Tsai Ing-wen not to try to score political points 
by opposing something so clearly in Taiwan,s interests.  Ma 
expressed surprise that the DPP thus far had not been more 
critical of the agreement.  Even local construction 
companies, usually quick to use &cheap nationalism8 to 
oppose foreign participation in the construction market, had 
been relatively quiet.  The strongest objections were to the 
possibility of opening the market to PRC construction firms 
) which would be a more difficult issue, the President 
conceded. 
 
Inter-Party Reconciliation 
-------------------------- 
 
¶6. (C) The Director emphasized the importance of building 
bridges between the KMT and DPP, especially given the strains 
placed on Taiwan society by the financial crisis.  The 
situation in Thailand illustrated what could happen if a 
significant segment of the population felt excluded from the 
political process.  Noting that he had made the same case to 
DPP Chairwoman Tsai Ing-wen, the Director called on both 
sides to work to keep lines of communication open.  Ma 
expressed understanding for the Director,s concerns and for 
the fact that forces within the DPP made it difficult for 
Tsai, a &friend and a reasonable woman" to accept Ma,s 
offer of dialogue &anywhere, anytime, on any issue.8 
Nevertheless, he agreed, the KMT has a special responsibility 
as the stronger party to continue to seek dialogue. 
SYOUNG