Around 200 student-led demonstrators have occupied parliament for more than a week and are urging people to take to the streets of Taipei tomorrow to increase the pressure on Ma's Kuomintang government.
In a bid to placate demonstrators Ma, who has sought closer ties with China since becoming the island's leader in 2008, said he would agree to demands that a law be introduced to monitor all agreements with China.
"I want to make a clear promise here, I support the legalisation of the mechanism," he said in a speech broadcast live on television as thousands of supporters took to the streets demanding the protesters leave parliament.
However Ma, rejected the protesters main demand -- that the service trade agreement signed with China in July last year be retracted.
"We support the agreement to be debated and voted clause by clause, but I oppose the idea of retracting the agreement.
"It would cause too much damage to Taiwan. It would cost Taiwan's international credibility.
"In the future no-one would trust Taiwan while holding similar negotiations."
Student leader Lin Fei-fan described Ma's offer as "no substantial guarantee" and renewed a call for a peaceful rally Sunday, which organisers hope will attract up to 100,000.
But the protesters say the deal will damage Taiwan's economy and leave it vulnerable to political pressure from China.
