Taiwan's March 18 Sunflower Student Movement

Having seen major street protests in many countries around the world over the last few years, now it is our turn here in Taiwan. Last year, after secret negotiations, representatives from China and Taiwan signed the Cross-Strait Service Trade Agreement. This would open up 64 sectors in the Taiwan service industry to investment by China, including telecommunications, hospital services, social services, advertising, packaging, printing, insurance, banking, hairdressing, courier services, freight transport, and many more. Following objections that the pact is not only disadvantageous to Taiwan but a threat to national security, the Kuomintang (KMT) government reiterated that the pact would be subject to a clause-by-clause review in the Legislative Yuan. However, last week the KMT unilaterally sent the agreement to the legislative floor without the review in a move that was widely seen as an illegal violation of procedure as well as of the promises previously made. In response, hundreds of protestors, mainly students, stormed the Legislative Yuan on the morning of March 18, occupying the main chamber. Subsequently, thousands of supporters gathered on the streets outside the Legislative Yuan, preventing the police from entering the building in large numbers to take away the students occupying the building. This movement has been variously called the March 18 Student Movement, the Sunflower Student Movement, or Occupy Taiwan Legislature. Many people I know have been out on the nearby streets for the past few days (a few even inside the Legislative Yuan), and I myself went out one night (I'd have gone more often if I weren't occupied with child care duties). Now we hear that groups dissatisfied with the response of President Ma Ying-jeou and Premier Jiang Yi-huah have also broken into the Executive Yuan.

So what exactly is wrong with the Cross-Strait Service Trade Agreement? Everything, really. First of all, the secretive way in which it was negotiated and signed was unacceptable in and of itself. I read an account by an anonymous government worker who said they were asked to do write ups on the agreement without being told exactly what was in it. Then the KMT's moves to force it through without review raised even more red flags. In some ways, it resembles the Trans-Pacific Partnership (TPP) agreement that the US has been negotiating with several Asian countries. That also has been negotiated in secret, and there was an attempt to give it fast track passage through the US Congress, which has fortunately been stymied. As awful as some of the rumored provisions of the TPP are, however, the Cross-Strait Service Trade Agreement presents a much greater existential threat to Taiwan and its people than the TPP does to the US. Though Taiwan's per capita income is still considerably higher than China's, given the huge disparity in size and the large number of large, often state-supported businesses in China, many of Taiwan's industries are in danger of being swamped by the Chinese if this agreement passes, while at the same time many of Taiwan's highly educated workers will be siphoned away to China (this is already a problem now, but it will be exacerbated by this agreement). China supposedly is opening up many industries to Taiwanese investment as well, but China's past track record shows that the government will not provide a level playing field to foreign investors, and little of any money that Taiwanese business do make in China will find its way back to Taiwan.

Ma and the KMT claim the agreement will boost the Taiwanese economy, but who will actually benefit? It is instructive to look at real estate, another industry that the government wants to open up to Chinese investment. Taiwan's housing prices are already excessively high, boosted by speculation by a small percentage of immensely wealthy Taiwanese who buy and sell apartments like they were trading baseball cards, especially since the taxes they have to pay on their profits are minimal. If Chinese are also allowed to do this, the real estate market will get a boost in the sense that even more speculation will go on, prices will go even higher, and the building boom will continue longer without fear of immediate collapse. But who will benefit from that? Construction companies, real estate speculators from Taiwan and China, and real estate agencies, but not the average Taiwanese, who will have to give up any hope of being able to afford to buy an apartment. The effects of this agreement on many industries will be similar. Smaller Taiwanese business will be driven out of business and while the economy may get a superficial boost, most Taiwanese will not benefit.

But the major threat is to Taiwan's freedom. Lest we forget, China claims Taiwan as its territory, refusing to recognize the fact of its independent existence, and it has never renounced the use of force against Taiwan. If China is allowed to invest heavily in Taiwanese industries such as telecommunications, it will gain a substantial measure of control over freedom of information in Taiwan. Already there are pro-China media groups (most notably the truly despicable Want Want group, which owns major newspapers and television stations and is basically a mouthpiece for pro-China policies), most of which are currently portraying the protestors in the most negative light possible (I just read one shared post from someone who claims to have seen a team from one TV station kick over a garbage can and film it in an effort to portray the students as riotous and destructive). With significant Chinese investment, this situation will become much worse. Will a Chinese-invested printing company print books supporting Taiwan's independence, or the Tibetan cause? Will employees of companies with significant Chinese ownership feel free to be involved in political activities that might be seen as opposing Chinese interests? Already there are some areas of creeping self-censorship. Not only do many major newspapers, magazines and TV stations avoid stories that are too critical of China, but many in the entertainment industry suck up to China in hopes of making money there. It's even hard to find a world globe that doesn't show Taiwan as part of China, since most of the globes sold in Taiwan are made there. One of Taiwan's greatest assets is its relatively high (if deteriorating) level of freedom of speech. It would be simply idiotic to give that up in hopes of making a little extra money. After all, what good is wealth if you live in a cage?

For an overview of the Sunflower Student Movement, check out this site. For a more detailed look at the Cross-Strait Service Trade Agreement in (imperfect) English, check out this slideshow.

[Update – Here are some additional articles and commentaries on the protest and related issues:
What Unprecedented Protest Means for Taiwan
Beijing's strategy to 'buy' Taiwan: Coerced unification without firing a shot
Say Goodbye to 'Peaceful Unification']