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DATE=10/19/1999 TYPE=CORRESPONDENT REPORT TITLE=TAIWAN - CHINA (L-ONLY) NUMBER=2-255209 BYLINE=DERRICK MCELHERON DATELINE=TAIPEI CONTENT= VOICED AT: INTRO: The government of Taiwan is rejecting statements made by Chinese President Jiang Zemin, that China's reunification with the island will be achieved in the first half of the next century, under the same terms as the handover of Hong Kong. As Derrick McElheron reports from Taipei, Taiwanese officials are calling President Jiang's remarks insignificant for the island. TEXT: Taiwan's President Lee Teng Hui has dismissed Chinese President Jiang's remarks on reunification as "a lie," saying the island will not officially respond to the proposal. President Lee made the comments Tuesday while overseeing reconstruction efforts, as the country rebuilds from last month's devastating earthquake. Taiwan's Mainland Affairs Council Chairman, Su Chi, also rejected President Jiang's proposal, as impractical and said Beijing's leaders should concentrate their efforts on the democratization of their own system. Mr. Su added that the future of cross-Strait relations cannot be determined unilaterally. The remarks from President Lee and from Taiwan's leading spokesman on relations with China, came shortly after a report in the British newspaper, The Times of London. The paper quoted President Jiang as saying that China will be reunified in the first half of the next century and it will follow the Hong Kong formula of "one country, two systems." The article quotes President Jiang as saying China has succeeded in maintaining stability and prosperity in Hong Kong and that prosperity will serve as a significant example to resolve the question of Taiwan. President Jiang also told the British newspaper the United States could improve its relations with China if it would stop selling arms to Taiwan. The U-S Congress is currently discussing a bill to allow new exports of arms to Taiwan. China considers Taiwan to be a breakaway province and has threatened to invade the island if Taipei abandons its stated goal of reunifying with China and declares itself independent. (SIGNED) NEB/DM/FC/PLM 19-Oct-1999 02:24 AM EDT (19-Oct-1999 0624 UTC) NNNN Source: Voice of America .