TAIPEI (AFP) Dec 03, 2003 - The United States has cancelled planned computer war games with Taiwan because of rising tension between the island and China over contentious referendum legislation, reports said Wednesday.

CTI television said the reason given for the cancellation was media leaks, but that behind the scenes it was seen as an attempt by Washington to warn the the Taiwanese government.

"Washington scrapped the plan to avoid misleading the Taiwanese people in their judgement of the current situation," the television reported.

Analysts said the United States was trying to give the impression it did not support the maneuvering by the pro-independence movement in Taiwan, which has called for new legislation to be used to hold a referendum on independence.

Statements by President Chen Shui-bian that he would like to hold the referendum during March presidential polls have infuriated Beijing, which considers the island part of China.

Taiwan's vice-defense minister was scheduled to leave for Washington over the weekend, leading a high-profile military mission for comprehensive talks on arms deals and Taiwan's security.

The computer war games were scheduled for Hawaii from December 15 to 17.

Taiwan's defence authorities were not immediately available for comment.

Chen has pledged to hold a vote on the island's presidential election day, March 20, to safeguard Taiwan's sovereignty. He accused China on Sunday of aiming 496 ballistic missiles at the island.

Beijing has considered the island part of Chinese territory awaiting reunification, by force if necessary, since the two sides split in 1949 at the end of a civil war.

The CTI report came one day after Washington called on the two sides to refrain from any provocative action.

US State Department spokesman Richard Boucher said that Washington "would be opposed to any referenda that would change Taiwan's status or move towards independence".

Washington has observed the "One China" policy - accepting Taiwan as part of the Chinese territory -- since it switched recognition from Taipei to Beijing in 1979. But it has remained the island's leading arms supplier.