The Struggle for Recognition: Diplomatic Competition Between China and Taiwan in Oceania

The PRC and Taiwan are competing to gain diplomatic recognition from Pacific Islands states, a number of which recognise Taiwan and serve as a barrier to its international isolation. Since much of Oceania is in Australia’s sphere of influence, this struggle has often involved Canberra. This paper focuses on the intensifying conflict–with conclusions about the local political economic situations of the countries in Oceania that are most likely to switch recognition, the dilemmas that the issue poses for Australia and its alliance with the US, and the game theory of these auctions of diplomatic recognition. The rental of recognition is analysed as a “sovereignty business” in which some Pacific Islands states engage—similar to the offshore financial centres which are prevalent in the region. Anthony van Fossen is Senior Lecturer in Social Sciences in the School of Arts, Media and Culture and member of the Griffith Asia Institute at Griffith University. He has written extensively about the Pacific Islands, particularly in relation to its offshore financial centres and ‘sovereignty businesses’. His most recent book is South Pacific Futures: Oceania Toward 2050 (Brisbane: Foundation for Development Cooperation, 2005), the first comprehensive survey of expert views of the future of the region.