ANNUAL REPORT

369
Figure 5: Cross-Strait Investment, 2009–2015
Source: Taiwan’s Ministry of Economic Affairs, Investment Commission, Monthly Report, December
2015.
Taiwan’s International Engagement
Taiwan continues to pursue greater participation in the international
community through its official diplomatic relations with
22 countries,* efforts to expand its participation in international organizations,
and initiatives to strengthen economic and unofficial
diplomatic partnerships with countries other than China. As discussed
previously, one of Taiwan’s successes in 2016 was its continued
participation in the World Health Assembly as an observer.
This year also saw new and ongoing challenges to Taiwan’s ability
to participate in the international community, however. It is unclear
whether all of these developments were part of a concerted
effort by Beijing to pressure the Tsai Administration, but should
Beijing seek to increase pressure on Taipei, it may move to further
limit Taiwan’s participation in international organizations and invite
some countries with which Taiwan has diplomatic relations to
cut ties and establish diplomatic relations with China.
Efforts to Expand International Participation
Taiwan’s ‘‘New Southbound Policy’’: One of the Tsai Administration’s
main initiatives to expand Taiwan’s international participation
is its ‘‘New Southbound Policy’’ of enhanced engagement
with the countries of Southeast Asia, South Asia, and Oceania. 98
Although a major objective of the initiative is to expand Taiwan’s
trade and investment with these countries in order to diversify its
export markets, President Tsai and James Huang, the official who
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* Taiwan has diplomatic relations with Belize, Burkina Faso, the Dominican Republic, El Salvador,
Guatemala, Haiti, the Holy See, Honduras, Kiribati, the Marshall Islands, Nauru, Nicaragua,
Palau, Panama, Paraguay, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the
Grenadines, Sao Tome and Principe, Solomon Islands, Swaziland, and Tuvalu. Taiwan’s Ministry
of Foreign Affairs, ‘‘Diplomatic Allies.’’
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