China: No independence for Taiwan
BEIJING, China -- Chinese Premier Wen Jiabao opened the annual session of the National People's Congress in Beijing by saying a planned anti-secession law would never permit independence for Taiwan.
Addressing the gathering of almost 3,000 delegates in the vast Great Hall of the People on Saturday, Wen said the law reflects the "strong determination of the Chinese people to ... never allow secessionist forces working for `Taiwan independence' to separate Taiwan from China."
But in his two-hour speech Wen gave few details of a law that could provide a legal basis for an attack on the island.
China has considered Taiwan a renegade province since communist forces drove nationalists from the mainland in 1949, and has repeatedly threatened to use military power against the island if it declares independence.
At the start of the 10-day meeting, Wen also mentioned efforts to rein in the country's red-hot economy, as well as the need to maintain social stability in China.
The NPC is the highest organ of state power in China and meets to approve major new policy directions, laws, the budget, and major personnel changes.
Although the congress is widely considered to be a "rubber stamp" for central government policy, active debate is becoming more common at the sessions, although still tightly controlled.
Cross Strait tensions
Ties have improved between Taipei and Beijing, at least on a commercial level, with special charter flights between the two for recent Lunar New Year holidays.
But the proposed new law is worrying people in Taiwan, where more than 80 percent oppose it, according to an opinion poll conducted by the National Chengchi University in February.
"A dark cloud now overshadows the atmosphere of reconciliation," Taiwan President Chen Shui-bian said Tuesday in a videoconference with European lawmakers and academics.
But analysts are playing down concerns, which will likely be "fairly mild in its wording," according to Kenneth Lieberthal, an expert in China and Taiwan relations.
Another analyst said the proposed law would not be a pretext for invasion.
"Taiwan-China relations will be peaceful for a long time to come," Andy Xie, Chief Economist at Morgan Stanley, told CNN.
Economy
Wen also pledged to keep the world's seventh-largest economy growing but without letting it "overheat" by maintaining "stable and healthy" monetary and fiscal policies.
China, which is trying to overhaul ailing banks and find jobs for millions of workers laid off from state firms, is aiming for slower growth of 8 percent in 2005.
In past years, China has aimed for 7 percent, but usually topped that figure. China's gross domestic product grew 9.5 percent in 2004.
Wen said he would keep a tight grip on economic controls and push ahead with reforms to its yuan currency, fixed at about 8.28 per dollar.
The government is also aiming to close a widening income gap between China's rural hinterland and increasingly affluent coastal cities, which have sparked violent protests.
Wen said all farm taxes will be eliminated next year and promised that by 2007 every Chinese child can receive nine years of schooling -- an extraordinary commitment in a country where incomes per person average just US$1,000 (euro700) a year.
Children from poor families will be exempt from most fees and receive free textbooks, the premier said, although he didn't make clear whether they will still have to pay tuition.
"Solving the problems facing agriculture, rural areas and farmers remains a top priority of our work," Wen said, according to the Associated Press.
The session will also see power consolidated for China's new generation of leaders, headed by Chinese President Hu Jintao.
Former President Jiang Zemin will give up his last post as chairman of the State Central Military Commission.
The move is a largely symbolic gesture, as Jiang already stepped down from a more powerful military position in September.
The session also coincides with reports that Hong Kong Chief Executive Tung Chee-hwa plans to resign.
Hong Kong newspapers reported this week the deeply unpopular leader was likely to cite ill health as a reason for quitting. (Full story)
China opposes independence for Taiwan.

The People's Republic of China government plans to pass an anti-secession law, aimed at preventing a declaration of Taiwan independence. The law shows the "strong determination of the Chinese people" and will "never allow secessionist forces working for 'Taiwan independence' to succeed at breaking away from the mainland" according to an announcement made by China's Premier Wen Jiabao at the National People's Congress in Beijing.

The Chinese State Council is also planning to increase the country's military budget by 12.6 percent, to US$29.98 billion, for the current fiscal year.
Great Hall of the People
The anti-secession law, as well as the military budget increase will both be discussed during the parliamentary meetings which begin today, and continue for the next 12 days. Over 3,000 delegates assembled in the Great Hall of the People today to listen to Wen's two hour speech and begin discussions.

Taiwanese politicians reacted with disappointment to the planned anti-secession law, and promised protests in the streets of Taipei and Kaohsiung this Sunday. Taiwan's President Chen Shui-bian even threatened to introduce an "anti-annexation" law to oppose China's move.