Taiwan on Friday rejected Chinese offers of economic sweeteners and a new formula to define current bilateral ties, dashing hopes for fresh talks between the rivals and prolonging a dangerous stalemate. James Soong, head of Taiwan's second-biggest opposition party, and Chinese President Hu Jintao proposed a "two sides, one China" formula on Thursday as a basis for talks between Beijing and an island it considers its own. China also offered to ease employment for Taiwan residents on the mainland, simplify entry and exit procedures and reduce tuition fees for Taiwan students. The move came as Soong ended a nine-day visit, the latest in a string by opposition delegations.
Beijing's strategy aims to increase pressure on President Chen Shui-bian, who supports independence for Taiwan, the self-governing island China insists must return to the fold. China's Kuomintang Nationalist authorities fled to Taiwan in 1949 and set up their government there after losing power on the mainland to Mao Zedong's communist armies.
Chen's government said on Friday that any agreements between China and the island's opposition parties were of no consequence and Beijing should deal with the government on these issues.
"The government is disappointed and regrets that China's policy towards Taiwan is still rigid and shows no concrete sincerity to improve bilateral relations," said Michael You, vice chairman of Taiwan's Mainland Affairs Council.

Copyright Reuters, 2005

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