Potentially nasty fight looms over Trump U.S. Supreme Court pick

Supreme Court Building

By Andrew Chung

WASHINGTON (Reuters) – Senate Democrats are gearing up for a potentially ugly fight over Donald Trump’s U.S. Supreme Court pick, with some liberal activists urging them to do everything possible to block any nominee from the Republican president-elect.

Democrats are still seething over the Republican-led Senate’s decision last year to refuse to consider outgoing President Barack Obama’s nomination of appeals court judge Merrick Garland for a lifetime post on the court. The action had little precedent in U.S. history and prompted some Democrats to accuse Republicans of stealing a Supreme Court seat.

Trump last week vowed to announce his appointment within about two weeks of taking office on Friday. He said he would pick from among 20 candidates suggested by conservative legal groups to fill the lingering vacancy caused by the death of conservative Justice Antonin Scalia last Feb. 13.

Scalia’s replacement could tilt the ideological leaning of the court for years to come, restoring the long-standing conservative majority that disappeared with Scalia’s death just at a time when it appeared liberals would get an upper hand on the bench.

Liberal groups are gearing up for a battle, with the People For the American Way calling the judges on Trump’s list of candidates “very extreme.”

“We’re hearing from Senate Democrats and parallel concern among outside groups that this is going to be a major fight,” said Marge Baker, the group’s executive vice president. “We’ll be arguing that Democrats use every means at their disposal to defeat the nominee. This is going to be ‘all hands on deck,’ using all means at our disposal.”

Senate Democratic leader Chuck Schumer has said it is hard for him to imagine Trump picking a nominee who Democrats could support, and said he would “absolutely” fight to keep the seat vacant rather than let the Senate confirm a Trump nominee deemed to be outside the mainstream.

“We are not going to make it easy for them to pick a Supreme Court justice,” Schumer told MSNBC on Jan. 3, adding that if the Republicans “don’t appoint someone who’s really good, we’re going to oppose them tooth and nail.”

Senate Democrats may be in a position to hold up Trump’s selection indefinitely. Senate rules require 60 votes in the 100-seat chamber to overcome a procedural hurdle called a filibuster on Supreme Court nominees. There are 52 Republican senators.

Assuming all 52 back Trump’s nominee, Senate Majority Leader Mitch McConnell either would need to lure eight Democrats to his side or change the rules and ban the filibuster for Supreme Court nominations. Republicans, then in the minority, complained that their rights had been trampled when Senate Democrats in 2013 voted to eliminate the filibuster for executive branch and judicial nominees beyond the Supreme Court.

‘THIS IS A FIGHT’

Baker said liberals cannot hold their fire for fear that Republicans will use this so-called nuclear option, adding, “At some point you don’t game this out. You say, ‘This is a fight.'”

Other liberal groups urged a more conciliatory approach.

“We’re not predisposed to opposition here,” said Kristen Clarke, president of the Lawyers’ Committee for Civil Rights Under Law.

Any nominee will be evaluated, Clarke said, adding that the group is girding for a nominee who is hostile to civil rights.

Trump’s nominee could influence the court on a wide range of issues including abortion, the death penalty, religious rights, presidential powers, gay and transgender rights, federal regulations and others.

Political considerations also hang over the confirmation fight. Democrats and the two independents aligned with them in the Senate will be defending 25 seats in the 2018 elections, while Republicans defend only eight.

Many of those Democratic seats are in Republican-leaning states Trump won in the Nov. 8 election, including West Virginia, Missouri, North Dakota, Indiana, Montana, Michigan and Ohio.

Republicans likely will target these and other Democrats in hopes of coaxing them into backing Trump’s nominee. That means Democratic senators such as West Virginia’s Joe Manchin, Indiana’s Joe Donnelly and Missouri’s Claire McCaskill could face extra pressure not to block Trump’s Supreme Court nominee.

The liberal groups are facing off with well-funded conservative adversaries. The Judicial Crisis Network, for instance, has said it will spend at least $10 million on advertising and grassroots efforts to pressure Senate Democrats to back Trump’s nominee.

Carrie Severino, the group’s chief counsel, said it would be hypocritical for Democrats to block a vote after arguing the Constitution required the Senate to act on Garland.

“A lot of them (Democrats) spent the last nine months saying there is a constitutional duty to have a vote. I’d find it shocking if they would not carry out what they think their duty is,” Severino said.

Nan Aron, president of the liberal Alliance for Justice, said the high level of interest the vacancy has generated among activists, lawyers, students and others makes up for the deep pockets of the other side. “I don’t think we’ll need $10 million given the outcry expressed already,” Aron said.

(Additional reporting by Richard Cowan and Lawrence Hurley; Editing by Will Dunham)

Philippines says protested against China arms buildup on South China Sea isles

Philippine Foreign Minister

MANILA (Reuters) – The Philippines has filed a diplomatic protest with China, its foreign minister said on Monday, over Beijing’s installation last year of anti-aircraft and anti-missile systems on its manmade islands in the disputed South China Sea.

The protest note was sent to the Chinese embassy in December, after confirmation of a report from the U.S.-based Center for Strategic and International Studies about a weapons buildup on seven artificial islands in the Spratlys.

One of those islands is located within the Philippines’ 200 nautical mile exclusive economic zone.

Foreign Secretary Perfecto Yasay told CNN Philippines it was important to raise concerns carefully, and not create a big row.

“I just want to assure the Filipino people that when we take action at engaging China in this dispute, we do not want to take such aggressive, provocative action that will not solve the problem,” he said.

China claims almost the entire South China Sea, through which about $5 trillion worth of goods passes every year. An international arbitration ruling last year invalidated those claims.

Speaking up about that has become a tricky issue for the Philippines since President Rodrigo Duterte turned its foreign policy upside down by seeking engagement and a new relationship with China. Until recently the Philippines had been one of the most outspoken critics of Beijing’s maritime assertiveness.

“We cannot engage China in a war,” Yasay added, but “when there are reports about the buildup of weapon systems in the area during our watch, we made sure that the interests and rights of the Philippines are properly protected.”

The Philippines this year chairs the Association of South East Asian Nations (ASEAN) and Yasay said last week he was confident a protracted code of conduct between the grouping and China could be finished by mid-year, after 15 years and limited progress.

China’s artificial islands became a hot issue last week when the U.S. nominee for Secretary of State, Rex Tillerson, told a Senate hearing that Beijing should be repelled from, and then denied access to, the controversial islets.

Yasay last week suggested the Philippines would play no part in that, and said of the United States, “Let them do it”.

(Reporting by Manuel Mogato; Editing by Martin Petty and Clarence Fernandez)

Russia says facing increased cyber attacks from abroad

graphic representing hacking or cyber attacks

MOSCOW (Reuters) – Russia is facing increased cyber attacks from abroad, a senior security official was quoted on Sunday as saying, responding to Western accusations that Moscow is aggressively targeting information networks in the United States and Europe.

U.S. intelligence agencies say Russian President Vladimir Putin ordered a cyber campaign aimed at boosting Donald Trump’s electoral chances by discrediting his Democrat rival Hillary Clinton in the 2016 presidential campaign.

Russia has dismissed the accusations as a “witch-hunt”.

“Recently we have noted a significant increase in attempts to inflict harm on Russia’s informational systems from external forces,” Nikolai Patrushev, secretary of Russia’s Security Council, told the Rossiiskaya Gazeta daily, according to excerpts of an interview to be published in full on Monday.

“The global (Internet) operators and providers are widely used, while the methods they use constantly evolve,” said Patrushev, a former head of the FSB secret service and a close ally of Putin.

Patrushev accused the outgoing U.S. administration of President Barack Obama of “deliberately ignoring the fact that the main Internet servers are based on the territory of the United States and are used by Washington for intelligence and other purposes aimed at retaining its global domination”.

But he added that Moscow hoped to establish “constructive contacts” with the Trump administration. Trump, who praised Putin during the election campaign and has called for better ties with Moscow, will be inaugurated as president on Jan. 20.

(Reporting by Vladimir Soldatkin; Editing by Gareth Jones)

Obama says U.N. vote didn’t rupture U.S.-Israel relations

President Obama delivering farewell address

WASHINGTON (Reuters) – U.S. President Barack Obama played down fallout from a U.S. abstention on a United Nations resolution last month demanding an end to Israeli settlements in occupied territory, saying it did not trigger a significant break in relations with Israel.

Relations between the United States and Israel, which have soured during Obama’s eight years in office, reached a low point late last month when Washington, defying pressure from longtime ally Israel and President-elect Donald Trump, declined to veto the U.N. resolution.

After the Dec. 23 vote, Israeli Prime Minister Benjamin Netanyahu described the U.S. move as “shameful” and accused the Obama administration of colluding with the Palestinians in the U.N. move against the settlements, which are considered illegal by most countries and described as illegitimate by Washington. The White House denied the charge.

“I don’t think it caused a major rupture in relations between the United States and Israel,” Obama said in an interview with the CBS program “60 Minutes” airing on Sunday night, according to a transcript provided by CBS.

“If you’re saying that Prime Minister Netanyahu – got fired up, he’s been fired up repeatedly during the course of my presidency.”

Trump has pledged to pursue more pro-Israeli policies and to move the U.S. Embassy from Tel Aviv to Jerusalem, all but enshrining the city as Israel’s capital despite international objections.

Obama, who leaves office on Friday, said Israel’s settlements had made it harder to imagine a contiguous, effective Palestinian state, seen as key to a long-sought two-state solution to end the Israeli-Palestinian conflict.

The Palestinians want an independent state in the West Bank, Gaza and East Jerusalem, areas Israel captured in a 1967 war.

Israel disputes that settlements are illegal and says their final status should be determined in any future talks on Palestinian statehood. The last round of U.S.-led peace talks between the Israelis and Palestinians collapsed in 2014.

(Reporting by Phil Stewart; Editing by Peter Cooney)

China will ‘take off the gloves’ if Trump continues on Taiwan, state media warns

Donald Trump at news conference discussing Taiwan relations

By Christian Shepherd

BEIJING (Reuters) – China will “take off the gloves” and take strong action if U.S. President-elect Donald Trump continues to provoke Beijing over Taiwan once he assumes office, two leading state-run newspapers said on Monday.

In an interview with the Wall Street Journal published on Friday, Trump said the “One China” policy was up for negotiation. China’s foreign ministry, in response, said “One China” was the foundation of China-U.S. ties and was non-negotiable.

Trump broke with decades of precedent last month by taking a congratulatory telephone call from Taiwan President Tsai Ing-wen, angering Beijing which sees Taiwan as part of China.

“If Trump is determined to use this gambit in taking office, a period of fierce, damaging interactions will be unavoidable, as Beijing will have no choice but to take off the gloves,” the English-language China Daily said.

The Global Times, an influential state-run tabloid, echoed the China Daily, saying Beijing would take “strong countermeasures” against Trump’s attempt to “impair” the “One China” principle.

“The Chinese mainland will be prompted to speed up Taiwan reunification and mercilessly combat those who advocate Taiwan’s independence,” the paper said in an editorial.

Chinese Foreign Ministry spokeswoman Hua Chunying said the United States was clearly aware of China’s position on “One China”.

“Any person should understand that in this world there are certain things that cannot be traded or bought and sold,” she told a daily news briefing.

“The One China principle is the precondition and political basis for any country having relations with China.”

Hua added, “If anyone attempts to damage the One China principle or if they are under the illusion they can use this as a bargaining chip, they will be opposed by the Chinese government and people.

“In the end it will be like lifting a rock to drop it on one’s own feet,” she said, without elaborating.

TAIWAN MAY BE “SACRIFICED”

The Global Times said Trump’s endorsement of Taiwan was merely a ploy to further his administration’s short term interests, adding: “Taiwan may be sacrificed as a result of this despicable strategy.”

“If you do not beat them until they are bloody and bruised, then they will not retreat,” Yang Yizhou, deputy head of China’s government-run All-China Federation of Taiwan Compatriots, told an academic meeting on cross-straits relations in Beijing on Saturday.

Taiwan independence must “pay a cost” for every step forward taken, “we must use bloodstained facts to show them that the road is blocked,” Yang said, according to a Monday report on the meeting by the official People’s Daily Overseas Edition.

The United States, which switched diplomatic recognition from Taipei to Beijing in 1979, has acknowledged the Chinese position that there is only “One China” and that Taiwan is part of it.

The China Daily said Beijing’s relatively measured response to Trump’s comments in the Wall Street Journal “can only come from a genuine, sincere wish that the less-than-desirable, yet by-and-large manageable, big picture of China-U.S. relations will not be derailed before Trump even enters office”.

But China should not count on the assumption that Trump’s Taiwan moves are “a pre-inauguration bluff, and instead be prepared for him to continue backing his bet”.

“It may be costly. But it will prove a worthy price to pay to make the next U.S. president aware of the special sensitivity, and serious consequences of his Taiwan game,” said the national daily.

(Additional reporting by Ben Blanchard and John Ruwitch; Editing by Michael Perry and Randy Fabi)

Iran’s Revolutionary Guards position for power

Iran's Revolutionary Guards

By Babak Dehghanpisheh

BEIRUT (Reuters) – Iran’s Revolutionary Guards look set to entrench their power and shift the country to more hardline, isolationist policies for years to come following the death of influential powerbroker Ali Akbar Hashemi Rafsanjani.

Former president Rafsanjani long had a contentious relationship with the Islamic Revolutionary Guard Corps (IRGC), which is both the strongest military force in Iran and also has vast economic interests worth billions of dollars.

With a presidential election in May and a question mark over the health of Iran’s most powerful figure, Supreme Leader Ayatollah Ali Khamenei, analysts say the Guards will soon have opportunities to tighten their grip on the levers of power.

Rafsanjani, who died on Sunday aged 82, had criticized the Guards’ expanding economic interests, which range from oil and gas to telecommunications and construction, their role in the crackdown on protests after disputed 2009 presidential elections and the country’s missile program which the Guards oversee.

Rafsanjani was a high-profile member of the Assembly of Experts that selects the Supreme Leader. Though he favored an easing of security restrictions on Iranians at home, opening up to the West politically and economically, he was a respected go-between who could balance the influence of hardliners.

During mourning ceremonies this week, senior Revolutionary Guards commanders appeared on state TV to praise Rafsanjani, a companion of the Islamic Republic’s founder Ayatollah Ruhollah Khomeini and one of the pillars of the 1979 Islamic Revolution.

But analysts say many are quietly celebrating the departure of one of their biggest domestic critics.

“They’re going to be very happy,” said Ali Ansari, director of the Institute of Iranian Studies at the University of St Andrews. “They’re shedding a lot of crocodile tears.”

ABSOLUTELY PIVOTAL

With Rafsanjani out of the picture the Guards can play a crucial role in determining who becomes the next Supreme Leader by steering Assembly members toward a candidate more sympathetic to their interests, analysts say.

“All of the candidates you hear about who could replace Khamenei are much more hardline and have more radical views,” said Mehdi Khalaji, a former seminarian from Qom who is a senior fellow at the Washington Institute for Near East Policy.

The hardline camp in Iran has defined itself by a deep distrust of Western governments and rigid opposition to internal political reform, whereas Rafsanjani was the leading force behind moderate President Hassan Rouhani’s election win.

The 2015 nuclear agreement between Iran and Western powers was also anathema to hardliners and they have often used the deal, and the economic openings it offered Western companies, to criticize Rouhani’s government.

The question of who could replace Khamenei, 77, was first raised in earnest when he was hospitalized in 2014.

State TV showed Khamenei, who became the Islamic Republic’s second Supreme Leader in 1989, in a hospital bed with a string of officials visiting. Analysts said this was done to help the public recognize that a change at the top was inevitable.

In the event of Khamenei’s death, the Assembly of Experts’ 88 members will hold a closed-door session to push for the candidate of their choice before a final vote is taken. Analysts expect the Revolutionary Guards to play a significant role.

“They’ll be absolutely pivotal,” said Ansari.

PIECES IN PLACE

The Revolutionary Guards first secured an economic foothold after the Iran-Iraq war of the 1980s when Iran’s clerical rulers allowed them to invest in leading Iranian industries.

Their economic influence, authority and wealth grew after former guardsman Mahmoud Ahmadinejad became president in 2005 and has increased since, leading some analysts to say the next Supreme Leader is unlikely to wield the same power as Khamenei.

“They have been putting all the pieces in place for a very forceful show of force if Khamenei passes away,” said Abbas Milani, director of the Iranian Studies program at Stanford University.

“They’re seizing every day one more lever of intelligence power, financial power, police power. Clearly they’re putting their forces in play,” Milani said.

While there is no clear single candidate for the role of Supreme Leader, there are a handful of top contenders.

One possible candidate is Ayatollah Mahmoud Hashemi Shahroudi, 68, a former head of the judiciary who is now deputy head of the Assembly of Experts.

Shahroudi is favored by Khamenei, experts say, and, crucially, is thought to have the backing of the Revolutionary Guards.

Another candidate is Ayatollah Sadeq Amoli Larijani, the 55-year-old current head of the judiciary who has twice been appointed to the position by Khamenei.

Larijani comes from a family of political heavyweights – one brother, Ali, is parliament speaker and another has served in government – but Sadeq is not regarded as a senior cleric and is unlikely to muster much support among the old guard.

A third possible candidate is Mohammad-Taqi Mesbah-Yazdi, a hardline stalwart who has tussled with reformists for years. Mesbah-Yazdi did not get enough votes to keep his seat in the Assembly last year and, at 82, his age will likely be an issue if he is being considered for the top position in the country.

Some analysts say, however, that given the increasing power of the Revolutionary Guards it is perhaps less significant who actually becomes the next Supreme Leader.

“The individual is no longer important,” said Khalaji at the Washington Institute. “When I get asked who’s going to replace Khamenei, I say it’s the Revolutionary Guards.”

(Editing by David Clarke)

Philippines says finalizing deal to observe Russian military drills

Philippines President with Russian Ambassador

MANILA (Reuters) – The Philippines is finalizing a security deal with Russia allowing the two countries’ leaders to exchange visits and observe military drills, a minister said on Monday, at the same time assuring the United States that ties with Moscow will not affect its alliance with its traditional ally.

Two Russian warships made port calls in Manila last week with President Rodrigo Duterte touring an anti-submarine vessel, saying he hoped Moscow would become his country’s ally and protector.

Duterte has thrown the future of Philippine-U.S. relations into question with angry outbursts against the United States, a former colonial power, and some scaling back of military ties while taking steps to improve relationships with China and Russia.

In October, Duterte told U.S. President Barack Obama to “go to hell” and said the United States had refused to sell some weapons to his country but he did not care because Russia and China were willing suppliers.

He is due to go to Moscow in April. The visit by the Russian warships was the first official navy-to-navy contact between the two countries.

“We will observe their exercises,” Philippine Defence Minister Delfin Lorenzana told reporters during the military’s traditional New Year’s call at the main army base in Manila.

“If we need their expertise, then we will join the exercises. That’s the framework of the memorandum of understanding that is going to be signed. It could be a joint exercises but, initially, its going to be exchange of visits.”

Lorenzana assured Washington the military agreement with Moscow would not allow rotational deployment of Russian troops, planes and ships in Manila for mutual defense.

“It’s not similar to the U.S. which is a treaty, Mutual Defence Treaty, which mandates them to help us in case we’re attacked,” he said. “We wont have that with Russia. The MOU is about exchange of military personnel, visits and observation of exercises.”

He said the Philippines also expected a team of Russian security experts to visit to discuss the sale of new weapons systems.

Last month, Duterte sent his foreign and defense ministers to Moscow to discuss arms deals after a U.S. senator said he would block the sale of 26,000 assault rifles to the Philippines due to concern about a rising death toll in a war on drugs launched by Duterte.

(Reporting by Manuel Mogato; Editing by Nick Macfie)

Chinese state tabloid warns Trump, end one China policy and China will take revenge

Taiwan President Tsai Ingwen visiting Texas

By Brenda Goh and J.R. Wu

SHANGHAI/TAIPEI (Reuters) – State-run Chinese tabloid Global Times warned U.S. President-elect Donald Trump that China would “take revenge” if he reneged on the one-China policy, only hours after Taiwan’s president made a controversial stopover in Houston.

Taiwan President Tsai Ing-wen met senior U.S. Republican lawmakers during her stopover in Houston on Sunday en route to Central America, where she will visit Honduras, Nicaragua, Guatemala and El Salvador. Tsai will stop in San Francisco on Jan. 13, her way back to Taiwan.

China had asked the United States not to allow Tsai to enter or have formal government meetings under the one China policy.

Beijing considers self-governing Taiwan a renegade province ineligible for state-to-state relations. The subject is a sensitive one for China.

A photograph tweeted by Texas Governor Greg Abbott shows him meeting Tsai, with a small table between them adorned with the U.S., Texas and Taiwanese flags. Tsai’s office said on Monday she also spoke by telephone with U.S. senator John McCain, head of the powerful Senate Committee on Armed Services. Tsai also met Texas Senator Ted Cruz.

“Sticking to (the one China) principle is not a capricious request by China upon U.S. presidents, but an obligation of U.S. presidents to maintain China-U.S. relations and respect the existing order of the Asia-Pacific,” said the Global Times editorial on Sunday. The influential tabloid is published by the ruling Communist Party’s official People’s Daily.

Trump triggered protests from Beijing last month by accepting a congratulatory telephone call from Tsai and questioning the U.S. commitment to China’s position that Taiwan is part of one China.

“If Trump reneges on the one-China policy after taking office, the Chinese people will demand the government to take revenge. There is no room for bargaining,” said the Global Times.

Cruz said some members of Congress had received a letter from the Chinese consulate asking them not to meet Tsai during her stopovers.

“The People’s Republic of China needs to understand that in America we make decisions about meeting with visitors for ourselves,” Cruz said in a statement. “This is not about the PRC. This is about the U.S. relationship with Taiwan, an ally we are legally bound to defend.”

Cruz said he and Tsai discussed upgrading bilateral relations and furthering economic cooperation between their countries, including increased access to Taiwan markets that would benefit Texas ranchers, farmers and small businesses.

Chinese Foreign Ministry spokesman Lu Kang on Monday urged “relevant U.S. officials” to handle the Taiwan issue appropriately to avoid harming China-U.S. ties.

“We firmly oppose leaders of the Taiwan region, on the so-called basis of a transit visit, having any form of contact with U.S. officials and engaging in activities that interfere with and damage China-U.S. relations,” Lu said.

In a dinner speech Saturday to hundreds of overseas Taiwanese, Tsai said the United States holds a “special place in the hearts of the people of Taiwan” and that the island via bilateral exchanges has provided more than 320,000 jobs directly and indirectly to the American people, her office said on Monday.

Tsai said Taiwan looked to create more U.S. jobs through deeper investment, trade and procurement.

Tsai’s office said James Moriarty, chairman of the American Institute in Taiwan, which handles U.S.-Taiwan affairs in the absence of formal ties, told the Taiwan president in Houston that the United States was continuing efforts to persuade China to resume dialogue with Taiwan.

China is deeply suspicious of Tsai, who it thinks wants to push for the formal independence of the island.

The Global Times, whose stance does not equate with government policy, also targeted Tsai in the editorial, saying that the mainland would likely impose further diplomatic, economic and military pressure on Taiwan, warning that “Tsai needs to face the consequences for every provocative step she takes”.

“It should also impose military pressure on Taiwan and push it to the edge of being reunified by force, so as to effectively affect the approval rating of the Tsai administration.”

(Reporting by Brenda Goh in Shanghai, J.R. Wu in Taipei, and Michael Martina in Beijing; Editing by Michael Perry, Robert Birsel)

Taiwan loses another ally, says won’t help China ties

Taiwan diplomats

By J.R. Wu and Ben Blanchard

TAIPEI/BEIJING (Reuters) – Taiwan accused China on Wednesday of using Sao Tome and Principe’s financial woes to push its “one China” policy after the West African state ended ties with the self-ruled island, with Taiwan saying China’s action would not help relations across the Taiwan Strait.

China’s claim to Taiwan have shot back into the spotlight since U.S. President-elect Donald Trump broke diplomatic protocol and spoke with Taiwan President Tsai Ing-wen this month, angering Beijing.

Trump has also questioned the “one China” policy which the United States has followed since establishing relations with Beijing in 1979, under which the United States acknowledges that Taiwan is part of China.

The election of Tsai from the pro-independence Democratic Progressive Party this year infuriated Beijing, which suspects she wants to push for the island’s formal independence, though she says she wants to maintain peace with China.

Taiwan Foreign Minister David Lee said Taipei would not engage in “dollar diplomacy” after Sao Tome’s decision.

“We think the Beijing government should not use Sao Tome’s financing black hole … as an opportunity to push its ‘one China’ principle,” Lee told a news conference in Taipei on Wednesday.

“This behavior is not helpful to a smooth cross-Strait relationship.”

Tsai held emergency meetings with cabinet officials and security advisers on Wednesday, and told her ministers:

“Foreign diplomacy is not a zero-sum game,” according to her office spokesman, Alex Huang.

Tsai’s office said in a statement China’s use of Sao Tome’s financial woes to push its “one China” policy would harm stability across the Taiwan Strait.

“This is absolutely not beneficial to the long-term development of cross-Strait relations,” it said.

China says Taiwan has no right to diplomatic recognition as it is part of China, and the issue is an extremely sensitive one for Beijing.

In Beijing, China welcomed Sao Tome’s decision, without explicitly saying it had established formal relations with the former Portuguese colony or making any mention of a request for financial aid.

“We have noted the statement from the government of Sao Tome and Principe on the 20th to break so-called ‘diplomatic’ ties with Taiwan. China expresses appreciation of this, and welcomes Sao Tome back onto the correct path of the ‘one China’ principle,” the foreign ministry said in a statement.

Ministry spokeswoman Hua Chunying declined to comment when asked when the two countries may exchange ambassadors, and dismissed a question on how much China may have offered Sao Tome to switch ties as being “very imaginative”.

Defeated Nationalist forces fled to Taiwan at the end of a civil war in 1949 and Beijing has never renounced the use of force to bring Taiwan under its control.

In Africa, only Burkina Faso and Swaziland now maintain formal ties with Taiwan. President Tsai will visit Central American allies Honduras, Nicaragua, Guatemala and El Salvador next month.

“We now have 21 allies left. We must cherish them,” Lee said.

China and Taiwan had for years tried to poach each other’s allies, often dangling generous aid packages in front of developing nations.

But they began an unofficial diplomatic truce after signing a series of landmark trade and economic agreements in 2008 following the election of the China-friendly Ma Ying-jeou as Taiwan’s president.

Sao Tome and Principe’s tiny island economy is heavily dependent on cocoa exports but its position in the middle of the oil-rich Gulf of Guinea has raised interest in its potential as a possible oil and gas producer.

Diplomatic sources in Beijing have previously said Sao Tome was likely high on China’s list of countries to lure away from Taiwan.

In 2013, Sao Tome said China planned to open a trade mission to promote projects there, 16 years after it broke off relations over Sao Tome’s diplomatic recognition of Taiwan.

(Editing by Lincoln Feast, Robert Birsel)