Taiwan will submit an application to join the Beijing-led Asian Infrastructure Investment Bank (AIIB) on Tuesday (March 31), despite historical animosity and a lack of formal diplomatic relations between the island and China.
In a statement released late on Monday, Taiwan’s presidential office said joining the AIIB will help Taiwan in its efforts at regional economic integration and raise the possibility of joining other multinational bodies.
“I have three points to report regarding the Asian Infrastructure Investment Bank (AIIB). Firstly, to take part in the AIIB with dignity is in line with the general interest of our country. Secondly, today we will deliver our letter of intent to join the AIIB to its preparatory working group through the channels of the two associations (Association for Relations across the Taiwan Straits and the Strait Exchange Foundation), to express our willingness to participate. Thirdly, only by entering as a founding member we can participate in the steps defining the rights and obligations of the members. This is the only way that we can guarantee our own interests,” Premier Mao Chi-kuo told reporters waiting outside his office.
The government’s decision to apply was immediately criticized by Taiwan’s main opposition Democratic Progressive Party (DPP).
The DPP has historically been much more wary over bargains with China, and formally maintains Taiwan’s independence in its party platform.
“Can Ma Ying-jeou decide by himself? Does Ma Ying-jeou want to sell Taiwan?” asked DPP’s legislator Chen Ting-fei.
“[This case] must be submitted to the parliament for supervision,” she added.
It was not immediately known whether Beijing would accept Taiwan’s application to join the AIIB.
“As for our stance on Taiwan’s application to join the AIIB, our position and principles remain the same that it will be an open, inclusive and multilateral organization which we welcome all sides to join. But for Taiwan’s application, it should abide by the relevant principles, which are to avoid the problem appearing of ‘two Chinas’, or ‘one China, one Taiwan’,” Chinese foreign ministry spokeswoman Hua Chunying said when asked about Taiwan’s application.
China views Taiwan as a renegade province and has not ruled out the use of force to bring it under its control. However, since Taiwan’s current president Ma Ying-jeou took office in 2008, enmity has declined considerably and the two sides have signed a number of trade and investment deals.
Most countries, including the United States, do not recognize Taiwan due to pressure from China. Taiwan is not a member of the United Nations, the World Bank or the International Monetary Fund.
The AIIB is seen as a significant setback to U.S. efforts to extend its influence in the Asia-Pacific region and balance China’s growing financial clout and assertiveness.
China has set a March 31 deadline to become a founding member of the AIIB and over 40 nations have joined or said they intend to, adding clout to an institution seen as enhancing Beijing’s regional and global influence.
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