I have Just talked to the China airlines Dynasty office in Taipei and concerning their own upgrade system which will be confirmed soon in a phone call or email to myself The system will give priority on flight in this order.

1.Special Guest (CEO of HTC etc)
2.China airlines Paragon Member
3. China airlines Emerald Member
4. Sky team Elite Plus Member
5. China airlines Gold Member
6. Sky team Eite member
7. Dynasty Members
8. Members of other sky-team airlines, Fare code and Others.

I would like someone from another sky-team airline if they are really interested to compare with their airline to see what their policy is.