Taiwan blames RI for canceled investments

Taiwan blames RI for canceled investments

Associated Press, Taipei

Taiwan's vice president said Sunday that Indonesia, rather than
Taiwan, should be blamed for Taipei's cancellation of several
planned investments in Indonesia.

Annette Lu was responding to reported allegations by a
Taiwanese-Indonesian businessman, Kung Hai-rong, that Taiwanese
leaders had reneged on their promise to help Indonesia develop
its agriculture, fishing, mining and manufacturing industries.

Taiwanese President Chen Shui-bian had briefly pursued a so-
called "go-south policy" to encourage Taiwanese businesses to
invest in Southeast Asian countries instead of rival China.

The United Daily News paper on Sunday quoted Kung as saying
Taiwanese leaders had promised to help Indonesia with development
after Kung offered to use his influence to help arrange for Chen
to visit the Indonesian capital, Jakarta last December.

But the Taiwanese backed out on the investment pledges, Kung
reportedly said.

"It was an act of tearing down the bridge after crossing it,"
Kung was quoted as saying in a recent letter to Chen.

Lu, however, said Indonesia "did not show adequate sincerity,
and our go-south policy and other projects naturally came to an
end."

Jakarta had agreed to Chen's visit, but withdrew its consent
at the last minute following objections from China. Relations
between Taipei and Jakarta have since been strained.

China and Taiwan separated amid civil war in 1949. China
claims Taiwan as a part of its own territory, and adamantly
opposes foreign trips by Taiwanese leaders.

Taiwanese leaders have sought to break their diplomatic
isolation by planning what they call "holiday visits" to foreign
countries.