HL Deb 09 April 2001 vol 624 cc985-7

2.51 p.m.

Lord Faulkner of Worcester asked Her Majesty's Government:

What plans they have to improve relations with Taiwan.

The Parliamentary Under-Secretary of State, Foreign and Commonwealth Office (Baroness Scotland of Asthal)

My Lords, although we do not recognise Taiwan, we are keen to develop a mutually beneficial unofficial relationship. This covers economic and trade relations, inward investment, education, science and technology and culture. Taiwan is a target market for Trade Partners UK, and last year our exports grew by 17 per cent to more than £1 billion. A strong programme of exchanges is supported by unofficial ministerial visits, mainly in trade related areas. We shall continue to strengthen our unofficial relationship.

Lord Faulkner of Worcester

My Lords, I thank my noble friend for that Answer. I welcome confirmation that the Government see Taiwan as a valuable trading and cultural partner and that they wish to see more Taiwanese investment in this country. However, does my noble friend appreciate that the present stand-off between the United States and the People's Republic of China is creating enormous instability and nervousness in the region, particularly for Taiwan, which has more than 250 Chinese missiles pointing at its coast from the mainland?

Can my noble friend confirm that the Government see the modern Taiwan as a defender of human rights and democracy? Can she further confirm that the free will of 23 million Taiwanese will be taken into account in any deliberations about the future constitutional status of the country?

Baroness Scotland of Asthal

My Lords, I understand the sensitivities that may be being experienced in the region as a result of the recent difficulties in relation to the US aeroplane. Although we recognise Taiwan's position, we also acknowledge the position of the Chinese Government that Taiwan is a province of the People's Republic of China. It is obviously of very great importance that people on both sides of the strait continue to look creatively for a solution to any difficulty they may be experiencing.

Lord Howell of Guildford

My Lords, further to the Question of the noble Lord, Lord Faulkner, can the Minister explain whether it is the Government's policy to support the American "twin track" approach; that is, on the one hand, to strengthen Taiwan's defences against violent assault and attack—which is, after all, the right of the Taiwanese people—and, on the other hand, to recognise the long-term validity of the One China policy and to contribute to links with China in the most positive way, despite the present stand-off which obviously threatens that approach?

Baroness Scotland of Asthal

My Lords, I can reassure the noble Lord that British policy in relation to Taiwan remains the same. As I said, we acknowledge the position in relation to China. We have demonstrated by the way in which we have reacted to Taiwan that we can have a very vigorous unofficial relationship founded on good trade relations, cultural links and other contacts. We shall certainly continue to pursue that relationship to the advantage, I hope, of both Taiwan and ourselves.

Lord Steel of Aikwood

My Lords, will Her Majesty's Government make it clear to the People's Republic of China that the One China policy, to which the international community contributes and subscribes, can only become a reality on the ground with the free will of the people of Taiwan, and that that is dependent on progress being made towards democratic and free institutions in Beijing itself? In view of that, will the Government offer a little more encouragement to Taiwan, given that the Taiwanese have recently, after 45 years, changed their government through the ballot box?

Baroness Scotland of Asthal

My Lords, the unofficial relationship that we have with Taiwan has been, and is, a warm one. I am sure that that warmth will continue. We look to both sides to pursue a peaceful resolution of the Taiwan question through negotiation. We attach great importance to the avoidance of conflict in the Taiwan Strait, which could be very destabilising for the whole region and beyond. We would view with extreme concern any recourse to military action. We shall continue to do all that we can to encourage both sides to arrive at a mutually consensual arrangement with which they are both satisfied.

Lord Shore of Stepney

My Lords, while I understand the obvious constraints on British policy towards Taiwan, would it not be a very helpful indication of our general sympathy and support if we were to back Taiwan's application to join the World Trade Organisation?

Baroness Scotland of Asthal

My Lords, we are aware that the Taiwanese would like to pursue that course. There does not appear to be any reason why Taiwan should not seek to join as a trading unit itself. It can do that separately and apart from being a part of China. That may be something that would be looked at favourably.

Baroness Williams of Crosby

My Lords, does the Minister agree that patience and time are likely to offer the best resolution to this difficult historic problem? The democratisation of China and its opening up to the outside world are all very helpful in terms of making the One China policy a success, but does the Minister further agree that it is incumbent on both sides to avoid, as far as possible, creating more and more weapons of greater and greater sophistication, which can only add to the tension already present in the region?

Baroness Scotland of Asthal

My Lords, I agree with the noble Baroness. Her last comments are, of course, generally applicable. Internationally, we are all seeking a creative, forceful dialogue in an attempt to resolve those issues.

Lord Avebury

My Lords, in view of the fact that Taiwan now has a mature parliamentary democracy, will Great Britain support an application by Taiwan to join the Inter- Parliamentary Union?

Baroness Scotland of Asthal

My Lords, I cannot give the noble Lord the assurance that he seeks in relation to that issue. I shall write to him if my understanding of the position has changed. What the noble Baroness, Lady Williams, said is right: we need dialogue on these issues, and patience and time may be our best friends.

Lord Brooke of Alverthorpe

My Lords, I am grateful for the replies that the Minister has so far given. However, perhaps I may return to the original Question: can the Minister elaborate in a little more detail on the Government's plans to improve relations?

Baroness Scotland of Asthal

My Lords, as I said, we have been taking every opportunity to improve trade relations. Taiwan was the UK's 30th largest export market world-wide last year, when our exports increased by 17 per cent to just over £1 billion. It is a target market for British trade internationally. Taiwan is now a major investor in the UK. Approximately 175 Taiwanese firms have a presence here, maintaining around 10,000 jobs. So far this year there have been two sponsored working level visits by Taiwanese specialists, focusing on transportation and information technology; and next month we will hold our annual trade policy consultation. We receive a large part of the student body from Taiwan. More than 12,000 Taiwanese are studying in the United Kingdom, which represents a quarter of the Taiwanese overseas students market. We are taking active steps to try to find mutual opportunities where we can work together effectively.