Taiwan loses ally Malawi in diplomatic tussle with China - Update

Taipei - Taiwan Monday lost yet another of its 24 remaining allies - Malawi - in a fresh battle in its diplomatic war with long-time rival China. The island's Foreign Ministry held an urgent news conference in Taipei late in the evening, announcing that Malawi, an ally of Taiwan for 42 years, had switched diplomatic recognition to Beijing.

"We deeply regret that Malawi, under the threat and lure of China, has decided to establish formal relations with China," said Vice Foreign Minister Yang Tzu-pao

"The government here has decided to terminate its diplomatic relations and various aid programmes with Malawi in order to uphold its national dignity," he said.

The switch came at a time when Taiwan President Chen Shui-bian was making a six-day visit to Guatemala and St Lucia in Central America to cement ties with the two countries.

It also came two days after Chen's ruling Democratic Progressive Party suffered its worst setback in weekend parliament elections, during which the ruling party was trumped by the opposition Nationalist Party, which will enjoy absolute control of the parliament when it convenes in February.

Taiwan had earlier said Malawi would switch official recognition to Beijing from Taipei after China offered 6 billion US dollars for a cooperation project with the African country.

Beijing, which has remained at loggerheads with Taiwan since the two sides split at the end of a civil war in 1949, has told the world the island is a part of China not entitled to sovereign recognition.

It has steadfastly suppressed Taiwan's efforts to maintain and increase its international relations since 1949.