"Taipei's radical push towards independence has put cross-Straits relations in the crucible," Wang Zaixi, vice minister of the Taiwan Affairs Office of the State Council, was quoted as saying in the China Daily's lead page one story.

"Peace and stability across the Taiwan Straits will be determined by what happens in the next three months," he said, warning Chen to "stop playing with fire".

Chen has signed a controversial bill which allows referendums to take place and plans to hold the island's first ever referendum alongside presidential polls on March 20, demanding Beijing remove hundreds of ballistic missiles targeting the island.

Taipei has said repeatedly the referendum has nothing to do with independence and is a symbol of Taiwan's full-fledged democracy, but Beijing is wary and US President George W. Bush has publicly rebuked the plan.

"Taiwan leader Chen Shui-bian's stepped-up efforts towards independence pose a great threat," Wang was cited as saying.

"They should be closely watched. If Chen will recklessly take more risky pro-independence moves ... it will trigger tension and even a clash in bilateral ties."

Chinese Premier Wen Jiabao has vowed Beijing will pay any price to safeguard the "unity of the motherland", but Wang stopped short of threatening force.

Instead, he reiterated Beijing's long-standing policy that the mainland will make unremitting efforts to peacefully settle the Taiwan question but "will never allow anybody to split Taiwan from China in any way."

Aside from the front-page story, the English language broadsheet devoted a comment piece and an entire inside page to articles attacking Chen.

In the comment piece, a senior researcher at the Chinese Academy of Military Sciences, a research institute under the umbrella of China's armed forces, called Chen an irresponsible, dangerous liar.

"All signs point to Chen Shui-bian as one who does not care for his reputation," said researcher Luo Yuan of the president who pledged when he came to power in 2000 not to push for independence or hold a referendum on independence.

"His reneging on his erstwhile pledge, under the pretence of 'mainland military threat', is highly illogical.