Pressed by opposition lawmakers, Vice-Defence Minister Chen Chao-min said the US military was likely to participate in the 2003 Han Kuang exercises currently being planned.

"It's possible that they will take part (in the drills) as part of exchanges and give us some guidance," Chen told a televised meeting of "parliament's defence sub-committee". He gave no further details.

The mass-circulation China Times newspaper, quoting unidentified sources, said US military personnel would be present at Taiwan's military command centre during this year's drills, usually held in the summer.

But to avoid controversy, the US participation would be in the name of preparation for a possible evacuation of American expatriates on the island, the Taipei-based daily reported.

The Chinese Foreign Ministry and the US embassy in Beijing had no immediate comment.

It has been the Chinese Government consistent policy to oppose any countries forming any military links with the island because it is part of China.

But the United States has repeatedly challenged the position. In April 2001, President George W. Bush offered to sell Taiwan diesel-electric submarines, Kidd-class destroyers and 12 P-3C Orion aircraft in the biggest arms sales in a decade.

The US Navy also kicked off a potential US$4.5 billion competition to help Taiwan buy up to eight conventional submarines in December.

China Daily news