A senior economics official yesterday applauded the decision by the US to sink an attempt by China to terminate Taiwan's right to enter the WTO as a separate entity.

In a paper submitted to its WTO accession working party Wednesday, China sought to attain support for its entry into the organization as a sovereign state, while also requesting Taiwan -- recognized by the trade body as "Chinese Taipei" -- be categorized as a customs area under China's control.

The proposal was immediately rejected by US trade ambassador Rita Hayes, who said, "The US position is that we cannot accept the language that China has put forth on Taiwan."

Top Chinese negotiator and Vice Trade Minister Long Yongtu (纒ッ弓) said in Geneva that "on the basis of `one China,' China will be a member of the WTO as a sovereign state, while Hong Kong, Macau and Taiwan would be members with subsidiary status." He said in a press conference that the situation should not be "dramatized" and added, "I am sure we can find a solution acceptable to members."

Voicing support for the US decision, Steve Chen (忱风ォ), Vice Minister of Economic Affairs, said, "We fully agree with the US on this issue and strongly support the US position."

Rebuffing China's attempt to politicize the membership issue, Chen emphasized that the working party report only details a prospective member's trade and economic commitments under the WTO agreement.

"If you try to insert political elements into this document it will be inappropriate and unacceptable to WTO members because [the working party meeting] is really not the right place to talk about anything related to politics."

Having recently returned from closed-door trade talks with officials in the US and Geneva, Chen said he believed Taiwan had the support of other WTO members on the issue.

"After contacting several major members of the WTO, we feel most of them agree with our position," Chen said.

Meanwhile, as final approval of permanent normal trade status looms in the US Senate, insistence by Beijing on acceptance of its "one China" policy in the WTO could jeopardize its chances of joining the organization this year.

Aware of that fact, China's top trade negotiator, Long Yongtu, sought to downplay the Chinese position on the territorial classification, saying, "It's only a very informal proposal ... and I don't think it will be a big issue."

According to Chen, since the organization essentially operates above the political fray, its function should be to "ensure that all the members' trade regimes and policies as well as measures adopted by those members are consistent with the ruling principles of the WTO."

Because the trade organization serves to promote "more liberal and open trade in the world, we believe there is no room in the WTO to discuss any political factors."

With WTO entry expected later this year, the attempt by Beijing to weaken Taiwan's position at the negotiating table -- and reverse the nation's decades-old ban on direct trade, transportation and communications -- is nothing new. Just last month Chinese Minister of Foreign Trade and Economic Cooperation Shi Guangsheng (ス約ゼ) said that Beijing might lodge an appeal with the WTO General Council over Taiwan's direct-links ban after accession.

Shi also said that the ban contravened the trade body's regulations and "any member going against the rules would have to bear the responsibility."