Taiwan First: The Role of National Identity in Protectionist Trade Policies

Abstract

Taiwan’s modern history of rapid economic growth has given the country the reputation as the “Taiwan Miracle”. The country’s emphasis on economic growth has become a core tenet of the nation’s policies and attitudes, both domestically and on the international scale. However, Taiwan’s 1996 No Haste Policies, which deeply restricted foreign investment into China, are a notable divergence from the country’s historic favoritism towards liberalized economic policies. This thesis seeks to identify what forces were behind Taiwan’s No Haste policies implemented between 1996 and 2001 and why these restrictive investment policies were broadly championed by a Taiwanese society that had historically championed all efforts towards economic growth. I ultimately argue that these economic policies were not a function of economic rationalism, but rather a result of Taiwan’s growing nationalist movement facilitated through its democratization process. Taiwan’s societal memory of atrocity and its newfound ability to redefine its national identity separate from its colonial past fueled the nation’s efforts to sacrifice economic wellbeing to protect the nation’s ontological security. Ultimately, I find that the restrictions represented Taiwan’s attempts to assert its autonomous identity from China.