Taipei  - President Ma Ying-jeou said Wednesday he does not rule out holding peace talks with China, but stressed that Taiwan must boost its defences in any event.

Ma made the statement after supervising a military drill in Pingtung County, east Taiwan, the first war game he has watched since taking office on May 20.

A total of 1,686 troops took part in the live-fire drill, which simulated Taiwan troops smashing enemy attempts to make an amphibious landing on Taiwan's coast.

Dozens of F-16 fighter jets, OH-58D helicopters and AH-1W attack helicopters took part in the drill.

"Holding this drill shows that despite improving cross-strait ties, our combat readiness has not slackened," Ma said.

"We are against war but are not afraid of war; we prepare for war but do not start a war. In future, we do not rule out holding peace talks with China, but Taiwan will not hold peace talks with fear, but with military strength," he said.

China has threatened to attack Taiwan if Taipei seeks independence or indefinitely rejects unification talks. Taiwan holds war games at least once a year to prepare for China's attack.

But last week, Defence Minister Chen Chao-min confirmed that Taiwan decided to stage major war games - Han Kuang Exercises -every other year instead of every year.

He said the cycle of the Han Kuang exercises is too short, making it difficult for the military to have adequate time to correct and adjust shortcomings found in each drill. (dpa)