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asia policy and to Taiwan’s own domestic resistance. It is difficult to imagine a quick resolution of either of these challenges in the short term. But as more and more free trade and regional trade agreements are signed among its major economic partners, Taiwan faces some tough choices about its competitive posture and economic adaptability. Given all the strategic and security implications of further integration into the Asia-Pacific region, joining the TPP would be immensely advantageous for Taiwan. However, apart from the core issue of its interest in and commitment to such an ambitious agenda, Taiwan’s trade partners have questioned the island’s political capacity to implement difficult market openings. Now that the terms of the TPP have been completed, Taiwan faces an important societal decision on the costs and benefits of joining. If the debate in the United States is any indication, that decision is far from easy, especially when many of the terms of the final agreement remain subject to negotiation. Yet it is imperative for Taiwan to knit itself into the economic and commercial fabric of the Asia-Pacific. Being a bystander at a time of accelerating regional integration will inevitably reduce Taiwan’s competitiveness and marginalize its role. [ 82 ]
asia policy, number 21 (january 2016), 83–99 • http://asiapolicy.nbr.org • Challenges Ahead in China’s Reform of State-Owned Enterprises Wendy Leutert wendy leutert is a PhD Candidate in government at Cornell University and a Visiting Researcher at the Brookings Institution’s John L. Thornton China Center (2014–15). She worked for the International Crisis Group in Beijing and holds an MA in government from Cornell and an MA in international relations from Tsinghua University. She can be reached at . note u The author thanks the Brookings Institution’s John L. Thornton China Center and the Brookings-Tsinghua Center for Public Policy and is also grateful for support from the U.S.-China Policy Exchange Fellowship funded by the Ford Foundation. All views expressed are those of the author. keywords: china; state-owned enterprises; yangqi; economy; reform © The National Bureau of Asian Research, Seattle, Washington
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