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1 TAIWAN-2014/12/05 THE BROOKINGS INSTITUTION CENTER FOR EAST ASIA POLICY STUDIES TAIWAN’S DOMESTIC AND EXTERNAL POLICY ENVIRONMENTS IN 2015 Taipei, Taiwan Friday, December 5, 2014 ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 2 TAIWAN-2014/12/05 PARTICIPANTS: Opening Remarks: CHI SU Chairman The Taipei Forum Foundation FRANCISCO H.L. OU Chairman Association of Foreign Relations RICHARD BUSH Senior Fellow and Director, Center for East Asia Studies, and Chen-Fu and Cecilia Yen Koo Chair in Taiwan Studies The Brookings Institution Keynote Speech: DAVID Y.L. LIN Minister of Foreign Affairs Republic of China PANEL 1: PROBLEMS OF DEMOCRATIC GOVERNANCE: Moderator: LOUIS W.H. TZEN Vice Chairman Association of Foreign Relations Democratic Governance in Korea: SUNHYUK KIM Professor, Department of Public Administration Korea University ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 3 TAIWAN-2014/12/05 PARTICIPANTS (CONTINUED): Democratic Governance and Japanese Security Policy: HARUKATA TAKENAKA Professor National Graduate Institute for Policy Studies, Japan Democratic Governance in Taiwan: YUN-HAN CHU Academician, Academia Sinica Professor of Political Science, National Taiwan University Politics and Budgets: The U.S. Defense Budget: MICHAEL O’HANLON Senior Fellow and Co-Director, Center for 21st Century Security and Intelligence Director of Research, Foreign Policy The Brookings Institution Commentator: YU-SHAN WU Distinguished Research Fellow and Director, Institute for Political Science, Academia Sinica Professor of Political Science, National Taiwan University PANEL 2: ECONOMIC ISSUES Moderator: RICHARD BUSH Senior Fellow and Director, Center for East Asia Studies, and Chen-Fu and Cecilia Yen Koo Chair in Taiwan Studies The Brookings Institution ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 4 TAIWAN-2014/12/05 PARTICIPANTS (CONTINUED): Regional Trade Integration: MIREYA SOLÍS Senior Fellow, Center for East Asia Policy Studies, and Philip Knight Chair in Japan Studies The Brookings Institution China’s Impact on the World Economy: DAVID DOLLAR Senior Fellow, John L. Thornton China Center The Brookings Institution Economic Reform in Taiwan: SHENG-CHENG HU Academician Academia Sinica Taiwan’s External Economic Policies: TAIN-JY CHEN Professor, Department of Economics National Taiwan University PANEL 3: CROSS-STRAIT RELATIONS: Moderator: FREDRICK CHEN Chairman Cathay Charity Foundation ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 5 TAIWAN-2014/12/05 PARTICIPANTS (CONTINUED): RICHARD BUSH Senior Fellow and Director, Center for East Asia Studies, and Chen-Fu and Cecilia Yen Koo Chair in Taiwan Studies The Brookings Institution LINGWEI HU Deputy Director Shanghai East Asia Institute SHIH-CHUNG LIU President, Taiwan Brain Trust CEAP Visiting Fellow, 2008-2009 KWEI-BO HUANG Secretary General, Association of Foreign Relations Associate Professor, Department of Diplomacy, National Chengchi University CEAP Visiting Fellow, Spring 2012 * * * * * ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 6 TAIWAN-2014/12/05 P R O C E E D I N G S MODERATOR: Ladies and gentlemen, welcome to the conference on Taiwan’s external and internal policy environments in 2015, co-organized by Brookings Institution, Center for East Asia Policy Studies, the Taipei Forum, and the Association of Foreign Relations. Please welcome Dr. Chairman Su Chi to address on behalf of the Taipei Forum. Chairman Su, please. DR. SU: Thank you. Good morning, everyone. The Honorable Minister David Lin, Chairman Francisco Ou, and Dr. Richard Bush, a good friend, and Chairman Morris Chang, distinguished guests, ladies and gentlemen – good morning, everyone. On behalf of the Taipei Forum, one of the three sponsors of this conference, I’d like to extend my warmest welcome to all the participants present here and today. My hat tips especially for those who travel from abroad to come to join us. In September 2013, last year, Madame Koo, ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 7 TAIWAN-2014/12/05 also known as Cecilia Yen Koo -- we call her Koo Mama -- generously endowed a chair in Brookings Institution in the name of her late husband, (inaudible) Chairman Koo, and herself, to promote Taiwan studies. It was fitting and proper that the first chair went to Dr. Richard Bush, a world-renowned scholar and former official of the U.S. government. Since both Madame Koo and Dr. Bush are board members of the Taipei Forum -- so we decided at the time to establish a U.S.-Taiwan policy forum, with specifically cooperation between our two think tanks. Last year, we were honored to have former Vice President Vincent Siew (inaudible) to deliver a keynote speech at the first policy forum. The conference today is the second event of the U.S.- Taiwan policy forum. And I’m particularly privileged that the Association of Foreign Relations, headed by my good friend, former Foreign Minister Francisco Ou, is gracious enough to join us as a cosponsor, and help make this event a success. ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 8 TAIWAN-2014/12/05 I’m also pleased that so many distinguished scholars and opinion leaders from other countries and cities are here with us today. They are from the United States, Japan, Korea, and Hong Kong, and there are also quite a few scholars from China. As for Taiwan participants -- somewhat be able to tell -- they span across the party lines. So, in a significant way, this conference happens to mark, for the first time, the coexistence of what I call the Big Triangle, which is U.S., China, and Taiwan, and the small triangle - the blue, red, and green. And I certainly hope that the brainstorming that’s about to take place soon will make some contribution to peace and stability in the region. So, lastly, I’d like to wish all of the participants here today good health and continued success in your pursuit. Thank you. SPEAKER: Thank you, Chairman Su. Now please welcome Chairman and Ambassador Francisco Ou to ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 9 TAIWAN-2014/12/05 speak on behalf of the Association of Foreign Relations. Chairman Ou, please. MR. OU: Pleased, as ever, to see Minister David Lin, Dr. Richard Bush, Dr. Su Chi, distinguished guests, ladies and gentlemen, and Mark. Thank you for coming to today’s conference. I wanted to take this opportunity to express my gratitude to Dr. Richard Bush and Dr. Su Chi for co-organizing this meaningful conference. I also want to convey my same gratitude to Minister Lin for his acceptance of our invitation to address the keynote speech later today, and his continued support for Association of Foreign Relations, both including today’s conference (inaudible) and to enhance the understanding of international affairs in Taiwan at a grassroots level, organizing (inaudible) conferences like this certainly helps us (inaudible). Like most of the people in Taiwan (inaudible) in the negotiations of many multilateral and viable economic cooperation agreements in the th region. We believe Taiwan (inaudible) and 18 largest ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 10 TAIWAN-2014/12/05 importer last year, especially with more challenges and opportunities that have been rarely seen before (inaudible) and with the rest of major trading partners, improved democratic governance, and (inaudible) Taiwan will play an important role in assisting Taiwan to meet those challenges, and take advantage of those opportunities in such a rapidly changing of economic cooperation. And it goes without saying that the future development of the cross-strait relations will greatly affect Taiwan and regional security in East Asia. Despite the ice-breaking development of such relations (inaudible) May 2008, when Taiwan -- there are still a lot to do to, to consolidate peaceful and stable relations with mainland China or Australian nations efficiently and consistently. I hope today’s conference will come up with quite a few findings and suggestions useful for the (inaudible) of Taiwan’s mainland policy. Thanks again for joining us today. Now I will give the floor to Dr. Bush. Thank you. ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 11 TAIWAN-2014/12/05 SPEAKER: Thank you, Chairman Ou. Please welcome Dr. Richard Bush to speak on behalf of Center for East Asia Policy Studies, the Brookings Institution. DR. BUSH: Minister David Lin, Chairman Morris Chang, Chairman Su Chi, Chairman Francisco Ou, ladies and gentlemen, dear friends, good morning. On behalf of my colleagues at the Brookings Institution, both those who are with me today and those back in Washington, it gives me great pleasure to greet you here today, and to express our deep gratitude for this opportunity to participate in this conference - the Domestic and External Policy Environment. I’m deeply grateful to my cosponsors, the Taipei Forum Foundation, led by Dr. Su Chi, and the Association for Foreign Affairs, led by my good friend, Dr. Huang Kwei-Bo. They and their staffs have really made today’s event possible. Our conference comes at an important point in the history of East Asia, and in the course of ANDERSON COURT REPORTING 706 Duke Street, Suite 100 Alexandria, VA 22314 Phone (703) 519-7180 Fax (703) 519-7190 12 TAIWAN-2014/12/05 U.S.-East Asian relations.
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