Palau President Surangel Whipps Jr. has accused China of weaponizing tourism to influence his country’s stance on Taiwan. In an interview with The Associated Press, Whipps revealed that China offered to flood Palau with a million tourists if it abandoned its recognition of Taiwan as an independent democracy.
Palau, along with Tuvalu and the Marshall Islands, is one of only three Pacific nations that recognize Taiwan. China views this as a snub, as it claims Taiwan as part of its territory. The number of Taiwan’s diplomatic allies in the Pacific has dwindled in recent years, with Nauru breaking ties in January.
Whipps described the Chinese ambassador’s offer in 2020 as a “continual overture.” He stated, “They say, why are you torturing yourselves? Just join us and the sky’s the limit.” However, Whipps firmly rejected the proposition, stating, “We don’t need a million tourists. It’s not always about how much money we get.”
His stance is a rare one in the Pacific region, where many island nations struggle economically and feel overlooked by Western powers. Amidst growing competition for influence, China’s pressure on the remaining Taiwan allies is intensifying. Analysts have noted that the dwindling number of Taiwan’s diplomatic allies in the region is a sign of China’s growing diplomatic power.
China’s actions against Palau have escalated in the months leading up to the November election where Whipps is seeking re-election. In May, he blamed China for a major cyberattack that stole 20,000 government documents. He also alleged that Palauan tourism representatives were denied visas to attend an industry conference in Macau, and that Chinese state media warned citizens about safety concerns in Palau, leading to a halving of Chinese tourist arrivals in 2024.
Palau’s dependence on Chinese tourism makes it vulnerable to China’s economic leverage. However, Palau also benefits from a close relationship with the United States, a free association agreement that provides aid and defense support.
Despite the challenges, Whipps remains steadfast in his commitment to Taiwan and democracy. He expressed confidence in the US’s support and highlighted the importance of fostering relationships with other democratic nations like New Zealand and Australia. He also emphasized the need for greater security measures to protect Palau’s pristine waters, which have faced incursions by Chinese vessels.
With November’s election looming, Whipps faces an uphill battle against pro-China voices in Palau. However, he remains confident that his leadership will not compromise the country’s ties with Taiwan, focusing his campaign on issues like tax reform.
The situation in Palau underscores the complex geopolitical dynamics in the Pacific region, where small island nations are caught between competing powers vying for influence. The pressure on Palau exemplifies the tactics used by China to secure its strategic objectives in the region, raising concerns about the impact on democratic values and regional stability.