Opposition candidate Ma Ying-jeou has won Taiwan's presidential election, one dominated by concern over the economy and hopes for better ties with China.
‘This is a victory for people who hope for change and openness and reform,’ he told his jubilant Kuomintang (KMT) supporters.
Soft-spoken and Harvard-educated, Mr Ma has promised to work for closer ties with Beijing, including a peace treaty to end decades of hostilities, and to revive Taiwan's stuttering economy.
US President George W Bush sent his congratulations to Ma, saying his win was a new chance for China and Taiwan to resolve their differences.
‘I believe the election provides a fresh opportunity for both sides (China and Taiwan) to reach out and engage one another in peacefully resolving their differences,’ he added in a statement.
The vote had been closely watched by Beijing and Washington for signs of a new approach after eight years of recurring tensions under outgoing President Chen Shui-bian.
Final official figures by the election commission showed that Ma won 58.45% of the vote, and Hsieh 41.55%.
China's military crackdown in Tibet allowed Mr Hsieh to attack Ma's plan for an economic common market and peace treaty with China, but his attack did not appear to garner votes.
The island of Taiwan is the world's 17th largest economy, mainly on the back of its information technology sector, but is losing jobs and investment to mainland China, while incomes are stagnant.
