Taiwan Shores Up Airport To Draw Transpacic Traffic

<H1> Taiwan Shores Up Airport To Draw Transpacic Traffic</H1>By Jonathan Siskin

<I>Taipei </I>- Solidifying its position as one of Asia's leading economic and trade powers and working to raise its status as a regional gateway, the island of Taiwan is shoring up its transportation infrastructure with several new airport projects.

Taiwan's Asia-Pacific Regional Operations Center plans to create a regional aviation hub and operations center at Chiang Kai Shek International Airport, located 25 miles south of the capital. The centerpiece of the project is an air cargo park and aviation city, designed to facilitate the movement of passengers and cargo to destinations on both sides of the Pacific.

For passengers, this means additional terminal space. A second passenger terminal currently under construction at CKS Airport is expected to more than double its capacity to handle international arrivals when completed in mid-1999. Work on the new terminal is especially necessary because of the huge jump in traffic during the 1990s at CKS and Taiwan's other major airport, Kaohsiung International. The number of air arrivals skyrocketed from 1 million in 1990 to almost 15 million in 1995.

"These new facilities at Chiang Kai Shek International Airport are designed to increase convenience and decrease coasts for foreign companies operating in Taiwan," said Chang Tzu Chyang, director general of the tourism bureau here. "If successful, we will be able to capitalize on the advantages of our geographical position at the focal point of East Asian air lanes and greatly increase the flow of business travelers."

The terminal also will provide a new domestic wing for passengers connecting to other destinations on the island. In addition, sites are being considered for the development of a third international airport.

Mao Chi-kuo, vice minister of transportation and communications, believes improvements at the airports will heighten the island's attraction for U.S.-based multinational companies in Asia.

"We're ideally positioned geographically for servicing North America, and we're also at the center of the regional market between Seoul and Sheyang in the north and Singapore and Jakarta in the south," he said.

In fact, 40 large corporations from the United States, Europe and Australia have signed letters of intent with the Ministry of Economic Affairs to form alliances with Taiwanese companies to develop markets throughout Asia.

Possessing a large, technically skilled labor force coupled with a solid manufacturing base, Taiwan has established itself as a regional operations center. Taiwanese entrepreneurs have set up business networks throughout Asia, including mainland China. Ranked as the world's 18th largest economy, Taiwan's GNP rose 8.4 percent to a record high of just under $265 billion in 1995. Projections indicate that by the year 2,000, the island's GNP will reach $440 billion.

Healthy economic readings have made their impression on inbound travel. Statistics compiled by the Taiwan Tourism Bureau reveal that a record 2.3 million visitors came here in 1995, a 10 percent increase over the previous year; corporate mix was 28 percent. The three leading nations sending travelers here were Japan, the United States and Hong Kong.