Blair, who has visited China three times in the past four years, gathered first-hand information of Taiwanese combat capability during the April visit to witness the "Han Kuang (Han Glory) 19" exercise, the China Times said.

Taiwan's defense ministry declined to comment on the report.

In a dispatch from Washington, the paper said Blair, accompanied by a 20-strong US military delegation, was impressed by the performance of the Taiwan military units involved.

"He felt Taiwan armed forces fared brilliantly and their performance was better than expected," the paper quoted an unnamed source as saying.

It said the visit had reinforced the view that while the Chinese People's Liberation Army might have the ability to wreak serious havoc on Taiwan, they would be unable to take the island.

In a speech in Hong Kong last year, Blair warned that China was targeting Taiwan with an increasing number of ballistic missiles. He said the situation would eventually force the US to consider boosting the island's defences.

The United States has recently stepped up military exchanges with Taiwan which had been restricted since Washington switched its diplomatic recognition from Taipei to Beijing in 1979.

In 2001 US President George W. Bush announced in April 2001 the most comprehensive arms package to Taipei since 1992, including four Kidd-class destroyers, eight diesel submarines and 12 P-3C submarine-hunting aircraft.

That deal, which infuriated China, followed a two-year US review of Taiwan's air force and navy.

Bush caused a furore in China by saying that the United States would do whatever it takes to defend Taiwan, a statement seen by many as a departure from the long-term US policy of strategic ambiguity toward the island.

China considers Taiwan a renegade province and has repeatedly warned it would use force to thwart any declarations of formal independence.

Washington has argued arms sales are necessary for defensive purposes and are linked to China's military buildup on its side of the Taiwan Straits.

WAR.WIRE