Background: In 1895 military defeat forced China to cede Taiwan to Japan however it reverted to Chinese control after World War II. Following the communist victory on the mainland in 1949 2 million Nationalists fled to Taiwan and established a government that over five decades has gradually democratized and incorporated the native population within its structure. Throughout this period the island has prospered to become one of East Asia's economic 'Tigers.' The dominant political issue continues to be the relationship between Taiwan and China and the question of eventual reunification.

Geographic coordinates: 23 30 N 121 00 E

Map reference: Southeast Asia

Area
Comparative: slightly smaller than Maryland and Delaware combined

Land boundaries: 0 km

Coastline: 1566.3 km

Climate: tropical; marine; rainy season during southwest monsoon (June to August); cloudiness is persistent and extensive all year

Terrain: eastern two-thirds mostly rugged mountains; flat to gently rolling plains in west

Natural resources: small deposits of coal natural gas limestone marble and asbestos

Irrigated land: NA km²

Natural hazards: earthquakes and typhoons

Population: 22,191,087 (July 2000 est.)
Growth rate: 0.81% (2000 est.)
Below poverty line: 1% (1999 est.)

Ethnic groups: Taiwanese (including Hakka) 84% mainland Chinese 14% aborigine 2%

Languages: Mandarin Chinese (official) Taiwanese (Min) Hakka dialects

Religions: mixture of Buddhist Confucian and Taoist 93% Christian 4.5% other 2.5%

Population growth rate: 0.81% (2000 est.)

Birth rate: 14.42 births/1000 population (2000 est.)

Death rate: 5.91 deaths/1000 population (2000 est.)

Net migration rate: -0.38 migrant(s)/1000 population (2000 est.)

Environment
Current issues: air pollution; water pollution from industrial emissions raw sewage; contamination of drinking water supplies; trade in endangered species; low-level radioactive waste disposal

Infant mortality rate: 7.06 deaths/1000 live births (2000 est.)

Total fertility rate: 1.76 children born/woman (2000 est.)

Government type: multiparty democratic regime headed by popularly elected president

Capital: Taipei

Administrative divisions: since in the past the authorities claimed to be the government of all China the central administrative divisions include the provinces of Fu-chien (some 20 offshore islands of Fujian Province including Quemoy and Matsu) and Taiwan (the island of Taiwan and the Pescadores islands); note - the more commonly referenced administrative divisions are those of Taiwan Province - 16 counties (hsien singular and plural) 5 municipalities* (shih singular and plural) and 2 special municipalities** (chuan-shih singular and plural); Chang-hua Chia-i Chia-i* Chi-lung* Hsin-chu Hsin-chu* Hua-lien I-lan Kao-hsiung Kao-hsiung** Miao-li Nan-t'ou P'eng-hu P'ing-tung T'ai-chung T'ai-chung* T'ai-nan T'ai-nan* T'ai-pei T'ai-pei** T'ai-tung T'ao-yuan and Yun-lin; the provincial capital is at Chung-hsing-hsin-ts'un

National holiday: National Day 10 October (1911) (Anniversary of the Chinese Revolution)

Constitution: 1 January 1947 amended in 1992 1994 and 1997

Legal system: based on civil law system; accepts compulsory ICJ jurisdiction with reservations

Suffrage: 20 years of age; universal

Legislative branch: unicameral Legislative Yuan (225 seats - 168 elected by popular vote 41 elected on the basis of the proportion of nationwide votes received by participating political parties eight elected from overseas Chinese constituencies on the basis of the proportion of nationwide votes received by participating political parties eight elected by popular vote among the aboriginal populations; members serve three-year terms) and unicameral National Assembly (334 seats; members elected by popular vote to serve four-year terms)

Judicial branch: Judicial Yuan justices appointed by the president with the consent of the National Assembly

Political parties and leaders: Chinese New Party or CNP [CHOU Yang-sun]; Democratic Progressive Party or DPP [LIN Yi-hsiung chairman]; Kuomintang or KMT (Nationalist Party) [LIEN Chan acting chairman]; Taiwan Independence Party or TAIP [CHENG Pang-chen]; other minor parties

International organization participation: APEC AsDB BCIE ICC IOC WCL WTrO (applicant)

Diplomatic representation
In the us: none; unofficial commercial and cultural relations with the people of the US are maintained through a private instrumentality the Taipei Economic and Cultural Representative Office (TECRO) in the US with headquarters in Taipei and field offices in Washington and 12 other US cities
From the us: none; unofficial commercial and cultural relations with the people on Taiwan are maintained through a private corporation the American Institute in Taiwan (AIT) which has its headquarters in Rosslyn Virginia (telephone: [1] (703) 525-8,474 and FAX: [1] (703) 841-1385) and offices in Taipei at #7 Lane 134 Hsin Yi Road Section 3 telephone [886] (2) 2,709-2000 FAX [886] (2) 2,702-7,675 and in Kao-hsiung at #2 Chung Cheng 3d Road telephone [886] (7) 224-0154 through 0157 FAX [886] (7) 223-8,237 and the American Trade Center at Room 3,207 International Trade Building Taipei World Trade Center 333 Keelung Road Section 1 Taipei 10,548 telephone [886] (2) 2,720-1550 FAX [886] (2) 2,757-7,162

Flag description: red with a dark blue rectangle in the upper hoist-side corner bearing a white sun with 12 triangular rays

Economy overview: Taiwan has a dynamic capitalist economy with gradually decreasing guidance of investment and foreign trade by government authorities. In keeping with this trend some large government-owned banks and industrial firms are being privatized. Real growth in GDP has averaged about 8% during the past three decades. Exports have grown even faster and have provided the primary impetus for industrialization. Inflation and unemployment are low; the trade surplus is substantial; and foreign reserves are the world's third largest. Agriculture contributes 3% to GDP down from 35% in 1952. Traditional labor-intensive industries are steadily being moved off-shore and replaced with more capital- and technology-intensive industries. Taiwan has become a major investor in China Thailand Indonesia the Philippines Malaysia and Vietnam. The tightening of labor markets has led to an influx of foreign workers both legal and illegal. Because of its conservative financial approach and its entrepreneurial strengths Taiwan suffered little compared with many of its neighbors from the Asian financial crisis in 1998-99. Growth in 2000 should pick up a bit from 1999 backed by expansion in domestic consumption exports and private investment.

Real gdp growth rate: 5.5% (1999 est.)

Real gdp per capita: purchasing power parity - $16,100 (1999 est.)

Agriculture products: rice corn vegetables fruit tea; pigs poultry beef milk; fish

Industries: electronics petroleum refining chemicals textiles iron and steel machinery cement food processing

Industrial production growth rate: 7.5% (1999 est.)

Labor force: 9.7 million (1999 est.)
By occupation services: 55%
By occupation industry: 37%
By occupation agriculture: 8% (1999 est.)

Unemployment rate: 2.9% (1999 est.)

Population below poverty line: 1% (1999 est.)

Fiscal year: 1 July - 30 June (up to FY98/99); 1 July 1999 - 31 December 2000 for FY00; calendar year (after FY00)

Inflation rate consumer prices: 0.4% (1999 est.)

Exports: $121.6 billion (f.o.b. 1999)
Commodities: electronics electric and machinery equipment 52% metals textiles plastics chemicals
Partners: US 26% Hong Kong 21% Europe 18% Japan 10% Singapore 3% (1999)

Imports: $101.7 billion (c.i.f. 1999)
Commodities: electronics electric and machinery equipment 45% minerals precision instruments
Partners: Japan 27% US 18% Europe 16% South Korea 6% Malaysia 4% (1999)

Debt external: $35 billion (September 1999)

Exchange rates: New Taiwan dollars per US$1 - 31.395 (yearend 1999) 32.216 (1998) 32.052 (1997) 27.5 (1996) 27.5 (1995)

Electricity
Production: 133.586 billion kWh (1998)
Consumption: 124.235 billion kWh (1998)
Exports: 0 kWh (1998)
Imports: 0 kWh (1998)

Telephones
Main lines in use: 12 million (October 1999)
Mobile cellular: 10.2 million (October 1999)

Internet
Service providers isps: 15 (1999)

Military expenditures
Dollar figure: $8.042 billion (FY98/99)
Percent of gdp: 2.8% (FY98/99)

Airports: 38 (1999 est.)

Heliports: 2 (1999 est.)

Pipelines: petroleum products 3,400 km; natural gas 1800 km (1999)

Disputes international: involved in complex dispute over the Spratly Islands with China Malaysia Philippines Vietnam and possibly Brunei; Paracel Islands occupied by China but claimed by Vietnam and Taiwan; claims Japanese-administered Senkaku-shoto (Senkaku Islands/Diaoyu Tai) as does China

Illicit drugs: considered an important heroin transit point; major problem with domestic consumption of methamphetamines and heroin