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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. [ABSTRACT FROM AUTHOR]

The PRC-Taiwan diplomatic rivalry has not spared the South Pacific islands, a region only rarely mentioned within a Western strategy for Asia. This paper argues that the PRC and Taiwan have, since the 1970s, become players in their own right in Oceania, raising new variables in an uneventful area. Beijing and Taipei have made energetic efforts out of all proportion to draw such tiny islands to either camp. The elusive reasons are dissected herein. Wary of Western hegemony, the region's leaders have turned to Asia for offers of trade and aid, and have played the PRC and Taiwan against each other. This paper seeks to: explain Beijing's and Taipei's goals in lands that yield seemingly negligible gains; show how such activism has impacted Oceania; determine the region's perceptions and reactions; portray the relative position of all players; and point out future problems. The study is divided into contentious points crystallized over time: Cold War decolonization and the Chinese/Taiwanese arrival; aid, trade, and investment; fishing disputes; the role of China's navy; the region's nuclear-free zone; UN and South Pacific Forum dialogues; and the region's social economic, environmental ethnic, and security concerns. The study concludes that the supremacy of Chinese and Taiwanese global commercial considerations aims to demand a specific institutional-geopolitical alignment in Oceania. [ABSTRACT FROM AUTHOR]

China and Taiwan have become important actors in South Pacific affairs due to their diplomatic rivalry. Securing the diplomatic recognition of the Pacific Islands countries is expensive for China and Taiwan. There are limits to what the rivals are willing to spend, and they attempt to reduce costs. This dynamic shapes how Taiwan and China engage Pacific Islands politicians. It also motivates their high level official visits to the region, and how they engage South Pacific regional organizations. Despite criticisms that China-Taiwan rivalry corrupts and destabilizes the South Pacific, the issue of whether China and Taiwan's diplomatic rivalry has been beneficial or detrimental to the region remains contentious. China and Taiwan appear to have recently called a truce in their decades-old rivalry. This tacit agreement is still tentative, and the involvement of China and Taiwan in the region has yet to change significantly. However, Taiwan has reportedly begun to reduce funding, and is likely to reform its aid delivery in order to satisfy demands from the South Pacific region's dominant power, Australia, and to improve its image as a humanitarian aid donor. China is also likely to reduce funding while the truce holds. However, China considers its ties with South Pacific governments more important than responding to Australian pressure, and is unlikely to reform its South Pacific aid programmes as a result of the diplomatic truce. [ABSTRACT FROM AUTHOR]

The past five years have witnessed a leap in Chinese engagement in regions across the globe — even reaching as far as the South Pacific. This essay examines China's increasing activities there; the regional response; Beijing's potential economic, political, and strategic motivations; and the implications for the U.S. [ABSTRACT FROM AUTHOR]