Taiwan President Ma Ying-jeou has said the island was not ready to discuss unification with China, sending a firm message to an increasingly assertive Beijing eager to absorb what it considers a renegade province.

Mr Ma said although the economic and social gaps between the proudly democratic island and its giant Communist neighbour were narrowing, their political differences remained wide.

"The political situation between the two sides is still very different," said Mr Ma, speaking on the day China was celebrating its National Day. "I think to discuss matters, such as unification, is not very suitable. Taiwan is not ready."

Although his eight-year presidency has been characterised by warming business ties with China, Mr Ma, 65, ho steps down next year due to term limits, repeated how "the time was not yet ripe" for unification talks between the once bitter enemies.

His comments underscore how far Taiwan has moved from embracing China following massive protests on the island last year against a cross-strait trade pact and the weakening of Mr Ma's pro-China Nationalist party.

China and Taiwan have been ruled separately since defeated Nationalist forces fled to the island in 1949 after losing a civil war to the Communists.

Beijing has never renounced the use of force to bring the island of 23 million people back under its control, particularly if it were to make moves towards formal independence.