‘Despite increasing diplomatic pressure from the CCP, long-term trends remain in favor of Taiwan maintaining its de facto independence.’

The News Lewns
Date: 2018/12/26
By: Sheryn Lee, Macquarie University

Credit: AP / TPG

The confluence of Taiwan’s domestic politics and cross-Strait relations remains complex. Local dissatisfaction with President Tsai Ing-wen (蔡英文)’s administration resulted in low popularity and major losses for the Democratic Progressive Party (DPP) in the November 2018 ‘9 in 1’ local elections. But the continued strength of Taiwanese civil society and its participation in elections reflects Taiwan’s consolidated democracy – a trend that is accelerating China’s diplomatic pressure on Taipei. Meanwhile, U.S.–Taiwan relations are advancing and Taipei is strengthening its regional ties.

President Tsai is successfully pushing forward reforms to restructure Taiwan’s economy in response to an aging society and increasing economic and technological competition with China. Taiwan had its best economic growth rate in years in the first quarter of 2018, reaching 3 percent.

Still, Taiwanese civil society remains dissatisfied. In March, Tsai’s DPP introduced amendments to the Labor Standards Act with the aim to make seven Taiwanese industries more competitive against their Chinese counterparts. The amendments angered Taiwanese unions by reducing mandatory days off and increasing allowable overtime. Although President Tsai also raised the monthly minimum wage by 10 percent and public servant pay by 3 percent in May, the government was still met with protests for higher wages.    [FULL  STORY]