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Tuesday, May 09, 2006

Taiwan will not scrap US arms deal

Taiwan has refuted media reports that it would cancel a major arms deal with the US in protest over Washington's refusal earlier this week to let the pro-independence president stopover in the US on his way to Latin America.

Over the weekend, the China Times reported that the Taiwanese government was likely to scrap the arms deal over the diplomatic wrangling with its ally.

"The defense ministry cannot possibly change the policy carelessly," Taiwanese Deputy Defense Minister Chu Kai-sheng said.

Taiwan is set to purchase eight conventional submarines, 12 P-3C submarine-hunting aircraft, and six PAC-3 Patriot anti-missile systems for around US$10.8 billion.

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