The US magazine Foreign Policy on April 24 published an article entitled “Taiwan Isn’t Playing Dollar Diplomacy Anymore,” with the subhead: “Taipei can’t outspend Beijing to win friends. But it’s got other things going for it.”
“In 2012, 23 countries recognized Taiwan. Today, it is only recognized by 12 countries — the majority of which are in Latin America and the Pacific — and the Holy See. When Honduras became the latest country to ditch Taiwan for China, ending 80 years of ties with Taipei for lucrative investment and infrastructure funds from Beijing, Taiwanese President Tsai Ing-wen [蔡英文] said that Taiwan will no longer ‘engage in a meaningless contest of dollar diplomacy with China ... Tsai’s statement underscores Taiwan’s growing recognition that it needs to find savvier ways to play a weaker hand against the global economic superpower after years of diplomatic losses,” the article said.
Ryan Berg, director of the Americas Program at the Center for Strategic and International Studies, said in the article that Taiwan needs to find its niche: using its own economic and democratic development story to continue to appeal to its remaining diplomatic allies, many of which are developing small island states.
“Maybe it doesn’t do infrastructure the same way that the PRC [People’s Republic of China] does, but it develops human capital and talent in a way that the PRC doesn’t,” Berg said. “Or, it has an approach that really takes transparency and environmental, social and governance standards into greater consideration. Or it has digital transformation in a way that the PRC doesn’t.”
Indeed, Taiwan should abandon the old thinking of “dollar diplomacy,” and replace it with new, more diverse and flexible diplomatic strategies.
Despite years of constant intimidation and suppression from China, Taiwan, which prides itself in establishing a nation based on the values of freedom, democracy, the rule of law and human rights, has received increasing support from the international community. Taiwanese should seize this opportunity and respond to this trend. If Taiwan wants to stand out and exert real influence in the international community, it must rely on “soft power” rather than hard power.
Taiwan should give full play to its progressive values and diversity, and deepen interaction and cooperation with the world through soft diplomatic initiatives such as parliamentary, technological, cultural, environmental, humanitarian, tourism, sports, medical and health, urban, climate, public welfare, academic, economic and trade and people-to-people exchanges.
With more innovative thinking, and diverse and flexible strategies, Taiwan can do its part as a member of the international community and contribute to the world, establishing its brand and image, and enhancing its international visibility and status.
Taiwan should use its soft power to develop new diplomatic strategies, expand the public’s international outlook, build a public consensus, integrate the abundant capabilities of the government, civil society and industry, demonstrate its creativity and competitive advantages, and make good use of the Internet and emerging technologies to partner with like-minded countries.
Be it complex cross-national or cross-regional issues such as climate change, emerging diseases, migration, supply chain challenges or preventing money laundering, Taiwan must become a responsible stakeholder. It must also proactively seek to participate in Asia-Pacific and global affairs, so that it can become a key force for regional and world peace, prosperity and sustainable development.
Su Wei-cheng is a lecturer and a former secretary of the president of the Legislative Yuan.
Translated by Lin Lee-kai
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