Taiwan, China and the U.S.

Taiwan has just held its first popular election for president since the Nationalists fled to the island 47 years ago after China's civil war. As he was sworn in May 20, President Lee Teng-hui voiced pride in Taiwan's democratic reforms but also offered to visit Beijing for the first summit between leaders of the self-styled Republic of China on Taiwan and the People's Republic of China. Since Lee's election in March, however, Chinese leaders have repeated their opposition to independence for Taiwan and have rebuffed overtures at resuming talks on closer relations. For the United States, Taiwan's surging economic self-confidence and China's increasing assertiveness pose difficult policy choices with significant implications for peace, stability and trade in the Asia-Pacific region.