Defense minister Tang Yao-ming said military officers had met with American Institute in Taiwan (AIT) officials Monday over the alleged comments made in Maryland by its managing director, Therese Shaheen.

"The cabinet had demanded the defense ministry and foreign ministry to protest to the US government ... and we have also met AIT officials," Tang told parliament.

Defense ministry spokesman Huang Suey-sheng declined to disclose details of the meeting, but said the ministry's position had been "clearly explained" to AIT, Washington's quasi-embassy in Taipei.

"The AIT officials said they would pass our message to Washington," Huang told AFP.

According to Taiwan's China Times, Shaheen commented on the submarine deal to reporters after giving a speech at an annual Thanksgiving dinner hosted by the Taiwanese Association of America in Maryland Saturday.

Shaheen reportedly said it was "silly" for Taiwan to still be disputing who was to build the submarines.

The US had reportedly quoted Taiwan 11 billion US dollars for the eight conventional submarines and 20 percent more if the island insisted on building some of the submarines on its own.

Despite concerns that the submarines could be overpriced, Tang last week reiterated the need for Taiwan to acquire the weaponry as a "deterrent" against China's military threat. He said Taiwan would not pay "exorbitant prices".

US President George W. Bush approved the submarine sale in April 2001 as part of the most comprehensive arms sales to the island since 1992.

The deal, however, has progressed slowly as the US has not built conventional submarines for more than 40 years.

The US remains the leading arms supplier to Taiwan despite its shift of diplomatic recognition from Taipei to Beijing in 1979.

Beijing has repeatedly protested against Washington's arms sales to Taiwan, which it considers part of the Chinese territory to be reunified by force if necessary.

WAR.WIRE