China has restored diplomatic relations with the Pacific island nation of Nauru after it cut ties with Taiwan, in a move that is expected to further isolate the self-ruled island.

Nauru, a small island nation with a population of around 10,000, announced on Monday that it had severed diplomatic ties with Taiwan and established formal diplomatic relations with China. This decision comes after Nauru’s president, Lionel Aingimea, visited Beijing earlier this month, signaling a shift in its foreign policy towards China.

The decision to establish ties with China is seen as a significant diplomatic victory for Beijing, which has been working to isolate Taiwan on the international stage. China claims Taiwan as its sovereign territory and has been putting pressure on other countries to break off diplomatic relations with Taiwan in favor of recognizing China.

In response to Nauru’s decision, Taiwan’s foreign minister, Joseph Wu, accused China of using “dollar diplomacy” to persuade Nauru to switch its allegiance. He also said that Taiwan would not engage in “money competition” with China to keep its diplomatic allies, and urged other countries to continue supporting Taiwan.

The move by Nauru to cut ties with Taiwan and establish relations with China is expected to further erode Taiwan’s already limited international space. Only a handful of countries recognize Taiwan as a separate and independent nation, as most countries adhere to the “One China” policy, which considers Taiwan as a part of China.

The news of Nauru’s decision has been met with disappointment and concern by Taiwanese officials and allies, who fear that it could further isolate Taiwan and weaken its international standing. In recent years, several countries, including Burkina Faso, the Dominican Republic, El Salvador, and Panama, have severed ties with Taiwan in favor of recognizing China.

While the diplomatic situation between China, Taiwan, and its allies remains tense, Taiwan has received expressions of solidarity and support from the United States, which has repeatedly reaffirmed its commitment to Taiwan’s security and well-being.

Overall, Nauru’s decision to establish diplomatic relations with China is a significant blow to Taiwan’s already limited international standing and is likely to have broader implications for the region’s geopolitical dynamics. As China continues to assert its influence and dominance in the Asia-Pacific region, the diplomatic battle between China and Taiwan is expected to intensify, further complicating an already complex and fraught international landscape.