Taiwan builds stronger links with Panama

PANAMA. The economic crisis is affecting countries around the world and the emerging superpowers such as the Peoples Republic of China are adopting different strategies to survive the financial storm. Recently it has begun to acquire commercial interests throughout Latin America and this strategy has affected negatively its smaller neighbor, , Taiwan.

The Taiwanese ambassador, Simon Shen-yeaw Ko in a candid interview with the Panama Star said that certain basic exports from his country to Latin America have been affected. However, if Taiwan can export products with a better aggregated value, perhaps then the competition with China will be lower than expected.

“We have seen that the volume of exports from China to Latin American countries have increased dramatically, but we hope that with the pass of time Taiwan’s products, that have improved their quality, will continue to be sold in the countries around the region and the competition will be offset ,” said the ambassador.

“ At the recent Expocomer in Panama under the pressure of the global financial crisis Taiwan’s delegation thought that it was going to be too difficult to carry out business, but they obtained good results because their products have had a good reception from customers.”

Despite China’s commercial movements in Latin America, in Panama the volume of the exports has doubled in the last few years.

“It appears that there is enough space for both Taiwan and China to be able to sell their products.”

On the visit to Latin America of Taiwan’s president, Ma Ying-jeou said he will head a delegation to the inauguration of the President of Salvador, Mauricio Funes and will take the opportunity to visit neighboring countries. The possibility exists that he could come to Panama on July 1 to be present at the inauguration of elect president elect Ricardo Martinelli.

“President Ma considers Latin America a very important place for Taiwan, because here there are many countries that have diplomatic relations with our nation. Twelve of the 23 states that recognize Taiwan as a country are in Latin America. These relationships are very important for us. The visit will help to consolidate the ties,“ said ambassador Ko.

The diplomat indicated that the fact that Costa Rica had severed diplomatic relations with Taiwan does not mean that other countries will follow, because it was a very particular case. It happened at a time when both sides at the Straights of Taiwan were involved in a diplomatic fight. Through that dispute Taiwan and China started to lose allies.

Costa Rica severing ties with Taiwan was the product of that dispute. No long after that President Ma adopted a different strategy and starting sending a different message to the authorities of continental China, requesting that negotiations restart.

“A fight between the two Chinas could mean the improper utilization of resources, which could tarnish the images of the two nations. As a result a diplomatic truce was made and a series of commercial agreement were signed,” said the ambassador.

“We are concentrating in consolidating the position of Taiwan in the international arena and consolidating our relation with the 23 countries that recognize us as a nation,” concluded the diplomat.