Taiwan replies

Taiwan replies

This is in response to Jusuf Wanandi's article Indonesia still
respects the one China policy which appeared in The Jakarta Post
on Dec. 23, 2002.

President Chen's planned visit to Bali and Yogyakarta was a
response to your government's call for international help after
the terrorist attack in Bali, and was aimed at helping Indonesia
revitalize her battered tourist industry and dwindling foreign
direct investment. It was simply a demonstration of President
Chen's goodwill and care for Indonesia. Being in his personal
capacity, the trip had nothing to do with politics and was not a
challenge to Indonesia's "one China" policy.

Of the total US$17 billion of investment by Taiwan in
Indonesia, the major investors come from Taiwan's small and
medium-sized enterprises. They have no connection with any
parties either in Taiwan or Indonesia. Wanandi's claim that KMT
companies make up the bulk of Taiwan's $17 billion in investments
is simply not true. There is no single KMT investment in
Indonesia.

Indonesia and China are competing with each other for foreign
direct investment. Taiwan's total investments in Indonesia
reaches $17 billion. China puts a special emphasis on trade, and
its direct investment in Indonesia lags far behind.

Indonesian export items are similar to those from China.
Taiwan's export items are mainly high-tech and machinery
products, which do not compete with Indonesian goods in
international markets. Also, with Taiwanese machinery Indonesia
can enhance its competitiveness.

Each year, about 300,000 Taiwan tourists visit Indonesia. And
Taiwan tourists' purchasing power is famous the world over, while
tourists from China are only allowed to possess $500 for
traveling to Indonesia.

We firmly believe that the Indonesian government will be wise
enough to make the best decision and her sovereignty won't be
compromised by foreign pressure.

DEREK HSU, Director, Information Division,
Taipei Economic and Trade Office, Jakarta