Star Cruises, the world's third-largest cruise line and the leading Asia-Pacific cruise line, has threatened to quit Taiwan after being barred from launching a cruise service between Taiwan and China, a press report said on Sunday, dpa reported.
Star Cruises has been waiting for Taiwan to drop the six-decade ban on sea links with China for years, so that it could launch Taiwan-China cruise, an unnamed transport ministry official was quoted as saying by Central News Agency (CNA).
But when Taiwan finally dropped the ban in December and Star Cruises filed the application, it was rejected on the grounds that only Taiwanese and Chinese passengers and cargo ships were allowed to provide cross-strait service.
If Star Cruises leaves Taiwan, it will mean the loss of 80 dockings at the Keelung Harbour annually, dealing a heavy blow to Taiwan's tourism industry, the report said.
Andy Lew, Star Cruises' Taiwan manager, confirmed to Deutsche Presse-Agentur dpa that the company already laid off 70 per cent of their Taiwan staff earlier this month, but refused to comment further.
Headquartered in Hong Kong, Star Cruises, which now serves Taiwan and China destinations separately, entered the Taiwan market in 1998, offering Taiwan-Japan and offshore voyages from Keelung Port in northern Taiwan between April and November each year.
In 2008, Star Cruises served 110,000 passengers on these Taiwan voyages. Four Star Cruises ships also brought Hong Kong and foreign passengers to Taiwan in 2008.
Taiwan and China split at the end of the Chinese civil war in 1949. Since then, Taiwan has banned direct sea, air and trade links with China.
Because of the bans, many foreign cruise companies have dropped Taiwan from their international routes, dealing a heavy blow to Taiwan's tourism.
Last month, Star Cruises had said that it was going to apply to launch regular cruise service between Taiwan and China next spring, 2009, beginning with three services between Taiwan and China's south- eastern city of Xiamen