The formal severing of diplomatic ties between Taiwan and Honduras over the weekend has laid bare China’s game of dollar diplomacy, played to isolate and humiliate Taiwan on the global stage. Despite Beijing’s willingness to throw around billions of US dollars, the political winds are shifting in Taiwan’s favor, exposing the rapidly diminishing relevance of traditional diplomatic ties to Taiwan’s global standing.
The past week has given a rare peek into the diplomatic machinations between nations. So often reflexively denied, the Honduran leadership has been relatively transparent about its request for US$2.44 billion from Taiwan to maintain relations, although it insisted it was to be a “negotiated refinancing mechanism,” not a donation. The Ministry of Foreign Affairs confirmed the request of “opaque” cash aid and said it would not engage in a bidding war with China, leading to the switch in recognition.
While Honduran President Xiomara Castro has her people’s best interests in mind, the shortsighted cash grab could end up being more destructive in the long run. Even Honduran Vice President Salvador Nasralla on Saturday warned that switching relations could result in severe consequences and lead the country into poverty, while the opposition National Party decried the move as selling the nation’s sovereignty and dignity to “the highest bidder.” As recipients of Belt and Road loans can attest, becoming financially beholden to Beijing could in the long run challenge a nation’s sovereignty, as unfavorable conditions give China control over key infrastructure and land.
For Taiwan, the loss of a diplomatic ally is not the blow it once was. Rather than being humiliating, Beijing is the one cast in a bad light for its blatant engagement in dollar diplomacy, especially as its list of debt-trapped “partners” grows. Instead of isolating it, the move comes while Taiwan is engaging in more substantive exchanges than ever.
As China and Honduras formalized diplomatic papers this weekend, a 150-strong delegation from the Czech legislature landed in Taipei with plans to sign a joint statement of legislative cooperation — the first between Taiwan and a country with which it has no formal diplomatic relations. This month alone, the nation has welcomed the German minister of education, a former Kosovar prime minister and lawmakers from the UK and US. Almost every day comes with news of another cooperation agreement, another meeting between officials or another statement of support. Other countries are not only recognizing Taiwan for its expertise and commitment to democratic values, but are becoming more willing to declare their support, loudly and unequivocally, through actions and words.
Chinese bullying is no longer scaring countries away from Taiwan, but driving them closer as leaders realize the importance of choosing partners that are responsible and reliable instead of whoever has the most money and the biggest market. Taiwan should continue fostering such informal and semiformal exchanges, especially initiatives that promote shared values such as democracy, human rights and environmental sustainability. By focusing on these areas of mutual interest, Taiwan can form partnerships that are more resilient to political and economic pressures, making them less susceptible to Chinese influence.
By embracing alternative avenues to build ties and showcase its strengths, Taiwan can continue to hold its head high in the global arena. Its resilience serves as a powerful reminder that a nation’s strength cannot be measured solely by its number of diplomatic allies, but also by the quality of its relationships.
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