Taiwan said Monday it had upgraded the status of its offices in Hong Kong and Macau, in a mark of improved ties with mainland China.

Authorities in the two semi-autonomous Chinese territories agreed to change the official status of the island's representative offices despite Beijing's stance that it considers Taiwan part of its territory awaiting reunification.

Taiwan's government office in Hong Kong will change its name from Chung Hwa Travel Service to Taipei Economic and Cultural Office from July 15 and will be authorised to handle various civil exchanges with Hong Kong, said Taiwan's China policy-making body, the Mainland Affairs Council.

The change takes place after eight months of discussions, and was described as a "milestone" by council chairwoman Lai Shin-yuan.

"The improvement of ties across the Taiwan Strait has not only allowed Taiwan greater room in the international community but also further ties with Hong Kong and Macau," she said.

The Taipei Trade and Tourism Office in Macau becomes the Taipei Economic and Cultural Office with immediate effect.

Hong Kong and Macau each plan to set up an economic, trade and cultural office in Taipei, the council said.

Taiwan has governed itself since the end of a civil war in 1949.

Tensions with the mainland have eased markedly since the China-friendly Kuomintang government of Ma Ying-jeou came to power in 2008 on promises of beefing up trade links and allowing in more Chinese tourists.

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