The relationship between Mainland China and Taiwan in the past decades is both conflicting and collaborating. Although delicate, the relationship has been gradually construed as a particular institution in which the two sides merge each into other economically but maintain their autonomy politically. Generally, economic interdependence among nations not necessarily leads to formal institution unless there is some political constraints. No such a formal institution, but a quasi one, exists between the Strait. On the one side, the unification issue puts two sides in sharp political and military confrontation. On the other hand, cultural and psychological factors around unification issue give the peoples of both sides the momentum to construct a mechanism of economic interdependence.With defining a policy of ”avoiding haste, exercising restraint”, this paper argues whether the relationship can maintain well can be viewed from the lens of institution that constructs both economic interdependence and political independence into one mixed structure