China Adopts Carrot-and-Stick Strategy to Influence Taiwan as Presidential Election Approaches

Thu Sep 21 2023
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BEIJING: China recently unveiled a two-pronged strategy aimed at Taiwan, combining efforts to promote integrated development across the Taiwan Strait with large-scale military incursions near the island. This dual approach has garnered mixed reactions from Taiwan’s residents.

With Taiwan’s presidential election approaching, China is expected to continue rolling out influence campaigns in the coming months as it seeks to shape the island’s political and economic landscape.

The plan, presented as a carrot-and-stick approach by Beijing, offers to enhance access to China for Taiwanese investors and encourages Taiwan residents to study, work, and live in China’s Fujian Province. However, it has been met with scepticism by many who view it as an old tactic lacking substance.

While some believe that the plan may improve and diversify the economy of Taiwan’s outlying Kinmen and Matsu Islands, others question whether Beijing can offer economic incentives that are truly attractive to many Taiwanese, especially as China grapples with its own economic challenges.

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Fujian, with its proximity and cultural ties to Taiwan, serves as the focal point for this integrated development initiative. It aims to deepen cross-strait integration and create a demonstration zone to facilitate closer ties. The plan encompasses measures such as improving infrastructure, supply of utilities, and bridges connecting Chinese cities with Taiwanese islands.

Despite these efforts, there is a divide in Taiwan’s perception of the plan. Some residents see it as an attempt to create division within Taiwan and believe it primarily benefits Taiwanese businessmen investing in China and residents of Kinmen and Matsu. Others welcome any policies that can boost the economies of these islands.

Taiwan’s Mainland Affairs Council has dismissed China’s proposed measures as wishful thinking, while some experts suggest that Beijing hopes to establish a connection between Taiwan and China through this demonstration zone.

Simultaneously, China has conducted several large-scale military incursions near Taiwan, further straining relations. These military activities have escalated concerns among Taiwanese citizens, increasing negative sentiments toward the Chinese government.

Experts view China’s dual strategy as an attempt at deterrence, combining military signals to discourage moves toward independence with economic integration offers. However, it appears that neither strategy is significantly swaying Taiwanese sentiment.

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