From the New York Times (link):
President Hu Jintao of China reacted sharply on Tuesday to the decision by President Chen Shui-bian of Taiwan to terminate the island’s unification council, calling it “a grave provocation” and “a dangerous step on the road toward Taiwan independence.”
President Chen Shui-bian of Taiwan displayed in Taipei yesterday the official document by which he scrapped the National Unification Council and the guidelines for unification with mainland China.
Mr. Chen on Tuesday completed the formalities for scrapping the National Unification Council and guidelines for unification with mainland China. Though largely moribund, the council and the guidelines were symbols of Taiwan’s political links to Beijing that Mr. Chen had once vowed to preserve.
Mr. Hu said the move threatened stability in the Taiwan Strait and the region.