Bush cautions Taiwan on independence

WASHINGTON -- President Bush said Tuesday after meeting with Chinese Premier Wen Jiabao that he opposes the apparent interest of Taiwan's leaders in taking steps toward independence.

Meeting with reporters in the Oval Office after a 40-minute meeting with Wen, Bush said he had told the premier, "The United States policy is one China."

"We oppose any unilateral decision by either China or Taiwan to change the status quo," Bush said, "and the comments and actions made by the leader of Taiwan indicate that he may be willing to make decisions unilaterally, to change the status quo, which we oppose."

It was the administration's strongest statement to date in opposition to Taiwan's plan to conduct a referendum on March 20 on whether the Taiwanese people want to demand that China withdraw hundreds of missiles aimed at Taiwan and renounce the use of force against the island.

The administration sees this as an indirect step toward independence, a view shared by Chinese authorities who have threatened military action against the island if the referendum proceeds as planned. But Wen, refraining from belligerent comments, said China's goal is to pursue peaceful reunification with Taiwan, "as long as a glimmer of hope" exists.

"Stability can only be maintained through unswerving opposition to pro-independence activities," Wen said. He said his country sought to maintain a system of "one country, two systems."

"The Chinese government respects the desire of people in Taiwan for democracy, but we must point out that the Taiwanese leaders are only using democracy as an excuse and attempt to resort to defensive referendums to split Taiwan away from China," he said. "Such separatist activities are what the Chinese side can absolutely not accept."

In response to a question on trade disputes, Wen said China has been taking steps to reduce the massive U.S. trade deficit, adding that he planned to submit a proposal on this issue during his luncheon meeting with Bush and other officials. He gave no hint on what was in the proposal.

U.S.-China trade has come a long way since 25 years ago, Wen said. The combined total was a mere $2.5 billion a year, compared with the current figure of more than $100 billion, he said.

"We have to admit, though, in our economic and trade relationship, problems still exist, and mainly the U.S. trade deficit with China," Wen said -- prompting a "thank you" from Bush.

"The Chinese government takes this problem seriously, and has taken measures to improve the situation," Wen said.