Taiwan Today

Regarding the establishment of diplomatic relations between the Government of the Republic of the Philippines and the Chinese Communist regime, the Ministry of Foreign Affairs issued the following statement:

In view of the most unfriendly act by the Government of the Republic of the Philippines in establishing formal relations with the Chinese Communist regime, the Government of the Republic of China has instructed its Embassy in Manila to lodge a strong protest with the Philippine Government and to inform the latter that the Republic of China considers the diplomatic relations between the two countries to have been terminated as of June 9, 1975.

The Chinese Embassy has also been instructed to notify the Philippine Government that citizens of the Republic of the Philippines residing or traveling in the Republic of China will continue to enjoy legal protection and fair treatment in accordance with international practices. Meanwhile, the Philippine Government has been re quested to permit the citizens of the Republic of China residing or traveling in the Philippines to continue to enjoy similar legal protection and fair treatment, and to ensure their freedom from harassment by the Chinese Communists ...

Ever since the Chinese Communist regime usurped the Chinese mainland, it has spared no efforts in carrying out its sinister scheme of world communization by infiltration and subversive activities as well as by direct 'and overt support to armed rebellion in nearly all countries in Southeast and South Asia, leading, in the most recent cases, to the fall of the countries of Indochina into Communist hands.

The Government of the Republic of China wishes to point out that in spite of its smiling campaign, the Chinese Communist regime has recently reaffirmed its declared policy of aiding dissident elements in non-Communist countries with a view to eventual Communist takeover, and indeed has given every sign of redoubling its efforts in pursuit of its insidious designs for that purpose.

The establishment of formal relations between the Philippine Government and the Chinese Communist regime will give the Chinese Communist regime added opportunities for infiltration and subversion, thus jeopardizing the security of the Philippines. For this and other consequences, the responsibility must rest with the Government of the Republic of the Philippines."

Preparation for the recovery of the mainland is being accelerated, President C.K. Yen said.

In a message to the people on the Chinese mainland, his first since he assumed the presidency on April 6, President Yen called on mainland compatriots to "join us spiritually to achieve the final victory of national revolution."

The President's message reads in part:

"On April 5, 1975, the Chinese national savior, President Chiang Kai-shek, passed away. Chinese in Taiwan and abroad expressed extreme grief over his passing.

Chinese people on the mainland, though they could not express themselves, are deeply saddened. They hold back their tears and pay tribute to the late President in their hearts.

President Chiang deserves the credit for China’s unification, victory in World War II, termination of the unequal treaties, establishment of constitutional government and improvement of the people's livelihood.
"For these contributions, the whole world pays its respects to the late President. Though he is dead, his great spirit will be with us forever.

Preparations for the mainland recovery mission of the Republic of China are being accelerated. President Chiang was constantly concerned with the situation of the mainland people and sought always to relieve the mainland people from the Communist yoke.

President Chiang's last testament urged the nation to realize the Three Principles of the People, to recover the mainland, to rejuvenate Chinese culture and to remain in the democratic camp.

Under the Constitution of the Republic of China, I have succeeded him as President and wish to join with the rest of nation in fulfilling the uncompleted mission of the late President.

We are determined never to stop until the mainland recovery target has been reached.

All the promises made by the late President to Communist defectors and various policies involving interests of the mainland people remain in force. I guarantee this on behalf of the government.

I sincerely hope that the anti-Communist mainland people will rise against the Peiping regime and struggle for their own salvation and that of the nation.

Since the passing of President Chiang, all Chinese at home and overseas are uniting to strive for the recovery of the mainland. I hope the mainland people will join us spiritually to achieve the final victory of the National Revolution."

In an interview with journalists from West Germany, the President said President Chiang's reiteration of the mainland recovery policy in his last testament has reinforced the determination of the people to carry out their mission.

The interview published by German newspapers was the first given by President Yen after assuming the presidency.

Yen said the Republic of China would never stop short of victory.

"We are completely confident that Dr. Sun Yat-sen's Three Principles of the People will triumph over Communism, that right will prevail over wrong and that humanity will defeat bestiality," he said.

"We do not pin hope of victory and national recovery on objective circumstances. So there is no need to wait for Mao's death or any internal change in the Peiping regime. Our schedule depends on the extent of our own efforts and accomplishment."

"Answering another question, President Yen said that to talk with the Communists is "like bargaining with the tiger for his skin."

"The danger of peace negotiations with the Communists is again made evident in the tragedy of Indochina," he said. "Free world nations should keep this costly lesson in mind, recognize that strength is the only language the Communists understand, and give up the illusion of peaceful coexistence. "

President Yen urged free world nations to augment their strength, unite and show their de termination to resist. "This is the way to mitigate the conflict and 'stop war with war,' " he said.

President Yen told the German visitors he was sure that the United States would revise its policy for Southeast Asia and the Western Pacific after weighing and evaluating its vital interests and considering the prospects for negotiations with the Communists.

But moral support from the rest of the free world is needed "as the United States and other free Asian nations try to turn back the tide of Communist aggression," he said.

The Chinese head of state said that if the countries of free Asia were to unite in any kind of collective security system, "the Republic of China would be among the first to join."

Free China still trusts the word of the United States despite serious American policy set backs in Southeast Asia, Ambassador James Shen said in Washington. He told Americans:

"Obviously, we, like everyone else, are watching," he said. "Promises made, commitments undertaken by a government are as valid as they are supposed to be. We have no reason to question the validity of your commitment. Besides being friends for many years, we are allies by virtue of a mutual defense treaty that was signed in 1954. As a matter of fact, during the last two or three years your president and secretary of state assured us and reassured us that the United States stands by its treaty commitment with us in joint defense."

In a radio interview, the ambassador said President Chiang Kai-shek's death and events in Southeast Asia would have no effect on U.S. relations with the Republic of China, adding:

"I do not expect any changes in our relation ship ... the relationship is based on our mutual concept or understanding of what constitutes our common interests ... the United States has a fine record of standing by its commitments in its history and we do not think that ours will be the first exception to that rule."

The Chinese ambassador said the defense treaty would not be affected by any withdrawals of U.S. troops from Taiwan.

"It is not whether you have troops on the scene," he said. "It is whether you have the will to use the force. You have bases in Okinawa, you have bases in Japan and you have bases in the Philippines. It's really your preparedness, your readiness to use it, your will to use it to back up your commitment."

Shen said he hoped all China would one day be unified as a free nation but that Taiwan would never surrender to Communist rule.

"It has been our policy and it remains our policy to ally ourselves with the free world. At the same time, we decided not to have anything to do at all with the Chinese Communists ... there is no meeting ground, no common points whatsoever.

"We want everybody to see what we have succeeded in doing. This is the wave of the future, not Communism."

A total of 855 overseas Chinese evacuated from South Vietnam by two Chinese Navy ships arrived at Kaohsiung in southern Taiwan to be welcomed by high-ranking government officials.

The refugees were taken to a Marine Corps camp at Chiuchutang in Kaohsiung County by a convoy of 70 trucks.

President Yen Chia-kan and Premier Chiang Ching-kuo instructed Mao Sung-nien, chairman of the Overseas Chinese Affairs Commission, to reset tle the escapees from Communism.

Carrying only handbags, the refugees had fled in a hurry aboard small boats and were rescued in waters near South Vietnam.

Among them were old people and children as well as intellectuals who had attended schools in Taiwan.

Mao Sung-nien and Wang Ya-ehuan, who represented Madame Chiang Kai-shek, praised the courage of officers and seamen of the two landing vessels in carrying out the rescue mission.

People of Kaohsiung City presented each of the refugees with a bag of daily necessities.

Arriving with the overseas Chinese refugees was Truong Thai Ton, Vietnamese economics minister during the Nguyen Cao Ky administration, and his family of seven.

A month's period of mourning for President Chiang Kai-shek ended. Madame Chiang Kai-shek thanked President Yen Chia-kan and the 21-member Funeral Committee for their services.

She received them and the three conveners of the committee at her residence in suburban Taipei.

Among those present were Nieh Wen-ya, president of the Legislative Yuan; Tien Chung-chin, president of the Judicial Yuan; Yang Liang-kung, president of the Examination Yuan; Yu Chun-hsien, president of the Control Yuan; and senior members of the Kuomintang.

Madame Chiang said she was deeply moved by devotion of the people to the late President.

She said an American businessman had told a Chinese professor on the train from Taichung to Taipei that President Chiang was the most loved and respected leader in the world.

Madame Chiang called on the Chinese people to be courageous and persevere in carrying out the last testament of President Chiang.

According to the Executive Yuan, all programs approved at Cabinet meetings since June, 1972, have been implemented or are still in progress.

Implementation of the 612 programs is under continuous supervision. The range is from Taipei reconstruction to projects on energy exploration and conservation.

Premier Chiang Ching-kuo has given nine specific instructions with regard to reconstruction projects in Taipei. Included are construction of roads and housing, development of suburban areas, improvement of traffic order, relocation of the vegetable and fruit market and removal of squatters' huts.

Elimination of harbor and inland transportation bottlenecks has been a government target since November, 1973. Measures taken in the last year included the elimination of red tape; stream lining of harbor operations; establishment of port development funds; construction of piers, transit sheds and warehouses; purchase of equipment; and improvement of the inland infrastructure system.

Labor welfare is another important program. Legislation on mining safety and labor health has been enacted in the last year. As of December 31, 1974, a total of 1,436,061 workers was covered by labor insurance, an increase of 4.32 per cent in a year. The number of hospitals and clinics designated for medical treatment of workers reached 953, an increase of 25 per cent over 1973.

Rural reconstruction is the responsibility of the Joint Commission on Rural Reconstruction. Since January, 1973, JCRR has approved 320 applications for subsidies with appropriations totaling NT$2,000 million (US$52.6 million).
Construction of rice granaries and grain silos is a major project. There are 94 silos with a capacity of 610,000 tons, 13 inland warehouses with capacity of 120,000 tons, 76 rice granaries with capacity of 330,000 tons and 2 refrigerated storage depots with capacity of 34,000 tons.

Government has spared no effort to seek oil resources on the continental shelf surrounding Taiwan and on the island itself. It has also enforced an energy conservation program to save foreign exchange.

Production of both crude oil and natural gas was increased substantially in 1974, said Hu Hsin nan, president of the Chinese Petroleum Corporation.

In 1974, production of crude oil totaled 210,000 kiloliters, up 25.2 per cent over the previous year. Natural gas output totaled 1,580 million cubic meters, up 5.4 per cent.

As a result of energy conservation, crude oil refined and marketed was down about 12 per cent.

Because of efficient management, CPC's profit was NT$2.6 billion (US$68 million), although refining costs increased.

Local oil prices were increased in 1974, but not in proportion to the rise in the price of crude oil. The people's living standard and industrial progress were safeguarded, Hu said.

Higher priced energy spurred the search for oil and gas in Taiwan. In the 10 years from late 1964 to early 1974, the production of crude oil was increased 20 times and that of natural gas 10 times.

Daily production of crude oil was 26 kiloliters in 1964 and 580 kiloliters in 1974. That of natural gas was 460,000 cubic meters in 1964 and 4.5 million cubic meters in 1974.

Hu said the local production of oil and gas represents about 16 per cent of consumption.

CPC drilled 19 wells on land in 1974. Five struck gas. Their daily production was 900,000 cubic meters of gas and 57 kiloliters of crude oil.

The government is cooperating with Amoco, Gulf, Oceanic, Clinton, Texfel and Continental in underseas oil exploration.

Nine wells had been drilled by May of this year. One was capable of producing about 1.5 million cubic meters of natural gas and 100 kiloliters of condensate a day.

CPC is also seeking oil in the Philippines, where eight wells are being drilled.

The corporation owns six 100,000-ton tankers. Transportation capacity in 1974 represented 75 per cent of oil imported.

Storage capacity is sufficient to supply Taiwan for a little over two months.

CPC filling stations number 272.

Factories polluting the air now face severe penalties.

Chin-yuan Chuang, director of the Department of Environmental Health of the National Health Administration, said air purity standards are based on the needs of the country and references collected from abroad.

Nearly 70 per cent of factories need to improve pollution controls, he said.

Suspended particle content in the atmosphere of Taiwan is higher than that of Europe, the U.S. and Japan. However, if the constituents of the suspended particles are considered, the pollution may be classified as light. There is less material hazardous to health than in the United States.

The hourly average concentration of carbon monoxide in the atmosphere of Taipei City has reached 12 ppm, over the 10 ppm safety limit. The maximum concentration of carbon monoxide in Taipei has reached 25 ppm. Control of exhaust fumes from vehicles is urgently needed.

Commodity prices in the Republic of China are among the most stable in the world against a backdrop of widespread stagflation, the Directorate General of Budgets, Accounts & Statistics said.

Wholesale prices have declined 11.5 per cent in a year. In the same period, wholesale prices rose by 14.6 per cent in the United States, 5.8 per cent in Japan, 27.8 per cent in South Korea, 12.2 per cent in West Germany and 28.3 per cent in Britain.

Taiwan retail prices registered a mild increase of 2.8 per cent compared with 11.1 per cent in the U.S., 14 per cent in Japan and 20.8 per cent in Britain.

The Directorate said price stability in the Re public of China attests to the success of the various measures taken by the government since launching of the economic stabilization program January 27, 1974.

The Directorate said Taiwan prices of such essential commodities as rice, pork, flour, soy beans, vegetables, clothing, gasoline and power are lower than in such places as Japan, South Korea, the Philippines, Singapore and Hongkong.

The Directorate said it detected signs of an export upswing in textiles, including synthetic fibers, cotton yarn and blends.

With new orders coming in, export prices are rising.

Average family size in Taiwan (not including Taipei City) was 5.9 last year, a drop of 0.01 over 1973. The average number of employed persons in each family was 2.28, an increase of 0.11 over the previous year.

The survey conducted by the Taiwan Provincial Department of Accounts and Statistics showed that individual income and consumption increased significantly and that the tendency to save had fallen slightly.

Following are the results:

Average monthly income per family was NT$8,103, up by 44.9 per cent compared with the NT$5,592 of 1973. After deduction of direct taxes and transfer payments, average disposable income was NT$7,457 monthly, averaging NT$1,267 per person and representing an increase of 43.89 per cent over 1973.

Average monthly expenditures of each family totaled NT$6,691 and NT$1,134 per person, a rise of 46.89 per cent.

Average monthly savings per family were NT$784, NT$133 for each person and registering a gain of 23.15 per cent over the previous year. The average tendency to save (the share of savings in disposal income) was 10.49 per cent, down by 1.83 per cent.

This was the income breakdown: salaries and wages, 65.18 per cent; property, 6.79 per cent; mixed income, 15.74 per cent; transferable income, 7.17 per cent; from other sources, 5.12 per cent.

Of average individual expenditures, food accounted for 47.81 per cent; housing and water, 11.57 per cent; miscellaneous, 7.56 per cent; entertainment and recreation, 6.82 per cent; clothing and decoration, 5.87 percent; communications and transportation, 4.48 per cent; medical care, 4.42 per cent; fuel and lighting, 4.08 per cent; household facilities, 3.9 per cent; tobacco, 1.72 per cent; beverages, 1.14 per cent; and household management, 1.14 per cent.

The Food and Fertilizer Technology Center of the Asian and Pacific Council marked its fifth anniversary.

Dr. Robert F. Chandler Jr., director of the Asian Vegetable Research and Development Center in Tainan, said the Center is increasing production and improving quality through the collection and dissemination of information.

The Center recently conducted its 11th seminar. The subject was "maintaining rice production on the face of the current shortage of chemical fertilizers. "

Taiwan expected to have a bumper harvest from the year's first rice crop. Yang Chi-chuan, vice minister of economic affairs, predicted a yield of more than 1,350,000 metric tons.

Planted area was 357,000 hectares, 6,500 hectares more than was planned. Unit production will be higher than last year.

Yang attributed the increase to these measures taken by the government:

- New cultivation methods.
- Better insecticides and pest control programs.
- Timely announcement of the guaranteed rice price.
- Interest- free loans.
- Adequate fertilizer.
- Increase in the planted area.

Yang said Taiwan expects to reap 2,700,000 metric tons of rice this year, an increase of 10.1 per cent over 1974.

Agricultural growth will be 3.5 per cent this year compared with 1974's 0.8 per cent, according to a projection of the Joint Com mission on Rural Reconstruction.

JCRR predicted the growth rate on the basis of increased investment and worldwide economic recovery during the latter half of this year.

JCRR puts growth of crops at 4.8 per cent, timber output at 11.1 per cent, fishery at 7.6 per cent and livestock at 0.9 per cent.

Another source predicted farm exports of US$1,100 million this year, an increase of over 25 per cent over 1974.

The Ministry of Economic Affairs said farmers will be encouraged to pool their land and resources for joint management.

The measure is aimed at eliminating the short comings of farming on small fragmented plots.

At the same time, the government will continue to protect the interest of small farmers, the ministry said.

Another government goal is reduction of the number of people whose primary source of income is agriculture.

JCRR has loaned farmers NT$213 million (US$5.6 million) to help finance cooperative farming and marketing.

The project was approved in early 1973 under the joint sponsorship of the JCRR, the Central Bank of China and other banking institutions with a fund of NT$235 million.

Programs including hog raising, dairy fanning, mulberry growing and tea plantation.

The two-year farm rejuvenation program has yielded benefits of NT$6,500 million. The program was funded by the Central Government and carried out by the Provincial Government.

NT$2,200 million was spent on improvement of marketing, better public utilities in villages, farm extension, special crop zones, experimentation with new crops, abolition of fertilizer-rice barter and termination of the farm surtax.

Government will increase emphasis on fishery development to assure an adequate protein supply, JCRR said.

Daily protein supplied by fish amounted to 5.9 grams per person in 1953, accounting for 50 per cent of the total. In 1973, fish supplied 11.8 grams and made up 46 per cent of the total daily protein intake from animal products.

Between 1952 and 1962, the annual catch rose from 121,697 metric tons to 327,046 metric tons for average yearly growth of 10.5 per cent. The average increase exceeded 7 per cent in the ensuing decade and the 1972 catch reached 694,252 metric tons.

The 1974 performance was a disappointing 697,871 metric tons, far below the targeted 820,000 metric tons. Fishermen were hard hit by the increased cost of fuel, changes in fishing grounds and extended claims to territorial waters by many maritime countries.

In 1974, fishery exports earned US$161 million.

The government plans these measures to en courage fisheries:

Cooperation with friendly countries.

- Development of new fishing grounds.
- Reduction of fuel costs and extension of tax reductions.
- Improved facilities and encouragement of joint operations.
- Modernization of the fishing fleet.

NT$2,700 million (US$71 million) will be spent by the Taiwan Highway Bureau on the high way system in the next decade.

The development plan includes 14 projects. Chang Fu-sun, director of THB, said the Bureau has made studies of road capacity, population distribution, defense needs and economic growth.

Ten of the 14 projects are already under way: western trunk highway, eastern trunk highway, inland network, cross-island highway, offshore island highway, highways linking tourist areas, highway sections in Taipei City, provincial high way, major county highways and freeway access roads.

The remaining four programs will include completion of the western coastal highway and building of the eastern coastal highway, mountain roads and another cross-island highway.

Provincial Government approval has been given plans for Anping harbor at Tainan. The cost will be NT$4,100 million (US$108 million) with completion before the end of 1979.

The harbor will be divided into nine areas.

1. Commercial harbor area of 64 hectares with piers totaling 6,400 meters and capable of berthing freighters below the 6,000-ton class. Maximum annual capacity is expected to reach 4,600,000 tons.

2. Industrial harbor area of 22.5 hectares with piers totaling 3,400 meters and warehouses and transit sheds for factories and plants. Capacity will be 3,400,000 tons annually.

3. Deep-sea fishing area of 31 hectares with piers totaling 4,200 meters and capable of berthing 400 fishing boats of 50 to 300-ton classes.

4. Coastal fishing area of 21 hectares with piers totaling 2,200 meters and capable of berthing 2,000 fishing boats below the 50-ton class.

5. Medium shipyard area of 38 hectares for use by 20 builders.

6. Small shipyard area of 13 hectares for use by 20 builders.

7. Terminal area of 12 hectares to be used by the port authority and shippers.

8. Ferryboat area of 3.5 hectares with piers totaling 740 meters.

9. Reserved area of 35 hectares to be used initially by shipbreakers.
Preliminary plans to build a harbor at Tapeng Bay on the southwest coast have been submitted to the Provincial Government.

Construction will be in five stages from 1977 to 1991. Upon completion, the port will be capable of handling 18.5 million tons of freight annually. It could also be used as a naval base and fishing port.

Tapeng Bay is a natural port with a narrow sandbar separating it from the sea. The area is 4,569,000 square meters.

Daily shipping service between Keelung and Hualien is beginning this month. The 6,000-ton vessel was purchased from Japan. It will accommodate 1,200 passengers or 40 container trucks and 70 small cars.

At cruising speed of 21 knots, the voyage should take four hours. There has been no regular shipping service on the east coast. Hualien will not be linked to the west coast by rail until 1979. Taipei-Hualien air service is available. The surface route is from Taipei to Suao by rail and then by bus along a coastal highway which is frequently blocked by landslides. This takes about 10 hours.