The Democratic Progressive Party (DPP), which advocates Taiwan's formal independence, won three of four seats, including the one that they held before.
Taiwan's anti-China opposition party picked up two extra seats in legislative by-elections on Saturday, handing another loss to the ruling party that has pursued a detente with Beijing.
The Democratic Progressive Party (DPP), which advocates Taiwan's formal independence, won three of four seats, including one they held before, following months of popular discontent with the ruling Nationalists (KMT).
Sustained strength of the opposition could be a drag on Taiwan stocks, as investors might fear a freeze in recent moves towards greater trade a economic cooperation between Taiwan and China.
The China-friendly Nationalist Party, though it still controls about three-quarters of parliament, has slid in opinion polls after a series of domestic setbacks, such as a perceived slow response to a deadly August typhoon and an about-face on allowing US beef imports despite mad cow disease fears.
China has claimed sovereignty over self-ruled Taiwan since 1949, when Mao Zedong''s forces won the Chinese civil war and Chiang Kai-shek's KMT fled to the island. China has threatened to attack if Taiwan tries to formalise its de facto independence.
Taiwanese president Ma Ying-jeou has brokered landmark trade talks with China since taking office in 2008, easing tensions.
"There are some risks because of the dwindling support for the president that could affect relations with China," Joanna Tan, an economist with Forecast Ltd, said before the vote.
The DPP won all three seats in legislative by-elections last month and did better than expected in local polls in December, gaining a county magistrate position.
Saturday's elections covered four seats vacated by legislators who had taken other appointments. The next test is year-end local elections covering about 60% of the population and the island's largest cities. Taiwan voters choose a president in 2012.
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