Taipei hopes the new passport will help reduce confusion

The decision has been denounced by China as an excuse for Taiwan to pursue independence.

The old passports just have Republic of China written on the cover - the name China and Taiwan shared before the Communist Party took over the mainland in 1949.

The Taiwanese authorities said the change would help foreign customs officials tell the difference between Taiwanese and mainland Chinese travellers.

Richard Shih, a spokesman for the island's foreign ministry, said the move was undertaken "to clear confusion", and make it more convenient for Taiwanese people to travel abroad.

He stressed that, other than the addition of the word Taiwan, the new version of the passport was completely the same as the old version.

But the move is still likely to anger China - which regards Taiwan as a breakaway province that must be reunited with the mainland.

When the plan was approved by Taiwan's President Chen Shui-bian last January, Beijing was reported to be dismayed by the idea.

Several countries - including the United States - have said the change will not affect the movement of Taiwanese citizens in and out of their borders.