The foreign minister of Taiwan has accused China of being involved in the plan for Honduras to switch its diplomatic allegiance from Taipei to Beijing. Additionally, the minister suggested that the Central American country had demanded a “high price” for maintaining relations with Taiwan.
On Thursday, Taiwan’s Foreign Minister Joseph Wu made comments following Honduras’ denial that it had demanded $2.5 billion in aid from Taiwan before revealing its intention to establish relations with China.
Beijing considers self-ruled Taiwan as its own territory and has been intensifying efforts to persuade only 14 countries that still maintain formal diplomatic ties with the island. Speaking to reporters at parliament, Wu said the situation with Honduras was “not very good”. “The marks of Chinese involvement are very obvious,” he said. But the island will not engage in dollar diplomacy with China, Wu added. “We’ve entered a very difficult phase,” he said. “But we’ll work hard until the last minute.” Wu did not directly confirm the claim reported by the Reuters news agency but stated that “the other side demanded a high price” when asked about Honduras’s alleged $2.5bn aid demand.
Hondura’s fund demand
Citing a source familiar with the situation, Reuters reported on Wednesday that Honduras had demanded the funds in aid from Taiwan the day before Honduran President Xiomara Castro tweeted that her government would seek to open relations with China.
A request for comment regarding the island’s accusations of China’s involvement in Honduras’s impending break in diplomatic relations was made, but China’s foreign ministry did not respond.
Honduran Foreign Minister Eduardo Enrique Reina told Reuters that the $2.5bn figure is “not a donation” but rather a request to buy the country’s public debt.
The minister previously stated that Honduras decided to switch its ties to Beijing partly because the country faced financial challenges and debt, including owing $600m to Taiwan, and was “up to its neck.”
Honduras announced that it is in negotiations with China to construct a hydroelectric dam on the Patuca River as part of a plan for three dams. In 2021, China inaugurated the first dam in eastern Honduras after investing $298m in its construction.
Wu, answering a legislator’s question on Thursday, said Honduras did not just owe the island money. “We have said to them previously the debt they owe us can be readjusted,” he said.
Honduras has yet to formally end ties with Taiwan but diplomatic sources in Taipei say they expect this is only a matter of time. That would leave the island with diplomatic relations with only 13 countries.
The Honduras crisis is happening ahead of a visit starting next week by Taiwanese President Tsai Ing-wen to Guatemala and Belize, which remain allies of Taipei.
Tsai is stopping in New York on the way there and Los Angeles on the way back, where she is expected to meet the speaker of the United States House of Representatives, Kevin McCarthy.
Wu, asked to confirm that meeting, said it was still in the process of being arranged.