"A peace agreement between Taiwan and China can be possible if both sides agree to adopt this formula," said Professor Huang Kuang-kuo of National Taiwan University, at a Taipei seminar on a possible cross-strait peace agreement.

Under the formula, the People's Republic of China and the Republic of China would each have their own constitution and exercise jurisdiction over their own territory, while upholding the one-China principle.

The territories would be recognized as the Chinese mainland for China, and Taiwan, Penghu Kinsmen, and Matsu for Taiwan.

Taiwan and China, as two equal political entities, would then be able to negotiate (on political issues) and thus contribute to building peaceful cross-strait relations, while Taiwan would gain greater participation in the international community, Huang suggested.

Professor Chang Yia-chung of National Taiwan University said that President Ma Ying-jeou's recent call for China to remove its missiles aimed at Taiwan before both sides can move to talk about a peace agreement is tantamount to "using the missiles issue to say 'no' to a peace agreement." "It would not be a smart strategy," Chang commented.

He added that a cross-strait peace agreement is "an issue that Taiwan and China have to face sooner or later" since it involves the definition and content of "one China" and the political identities of Taiwan and China. Since President Ma took office last year, Taiwan and China have signed nine agreements to increase cross-strait non-political exchanges, and Taiwan has been insisting on an "economics first and then politics" strategy in dealing with China.

Chang said that the idea of a cross-strait peace agreement has been "demonized" by the opposition camp, and the ruling Kuomintang "dare not mention it" for fear of repercussions in future elections.

Chairman Huang Kun-huei of the opposition Taiwan Solidarity Union (TSU) has criticized the proposed cross-strait peace agreement as "a matter of capitulation."