Nauru changing its diplomatic recognition from Taipei to Beijing might be a symbolic blow, but it doesn't materially change the security environment in the region, one expert says.
Nauru ended official ties with Taiwan and instead recognised the Chinese government in Beijing as the sole legal authority following the historic election of the pro-democracy party for a third term in Taipei.
The swap is part of a historical trend whereby Beijing viciously pursues diplomatic ties with the handful of nations that still recognise Taiwan following democracy party victories, China expert Ben Herscovitch said.
"It seems to be part of that common trend, historically speaking, when we have Democratic Progressive Party presidents, Taiwan has lost more of its diplomatic partners," he told AAP.
Countries welcoming the democratic election and congratulating the president-elect would have put more pressure on Beijing to issue a strong rebuke, Mr Herscovitch said.
"Symbolically it matters to Taiwan and it looks like a win for Beijing but in practical terms, it's not obvious it undermines Taiwan's de-facto independence in a material way."
The United States and democratic nations, which recognise Beijing as the legal government of China, are more consequential for Taiwan's security than a small Pacific country, Mr Herscovitch said.
"It doesn't shift the balance of power in the Taiwan Strait," he said.
Canberra wasn't caught off-guard by the announcement, Pacific Minister Pat Conroy said, but refused to go into further detail about when the government got the heads up.
"This was a decision by the sovereign government of Nauru and we respect their decision," he told reporters in Canberra on Tuesday.
But the US State Department went further, calling the change "disappointing".
"Taiwan is a reliable, like-minded, and democratic partner," department spokesperson Matthew Miller said.
"The (People's Republic of China) often makes promises in exchange for diplomatic relations that ultimately remain unfulfilled."
Taiwanese media reported the decision came after a Nauruan request for about $125 million from Taipei to keep an immigration detention centre open.
The switch came before an official answer was given but a diplomatic source said Taipei didn't respond positively to the request and Beijing was then able to finalise its offer for the centre, the Central News Agency reported.
Nauru didn't discuss the matter with Australia, Mr Conroy said.
It was in the nation's best interest to recognise Beijing over Taiwan, the Nauru government said in a statement announcing the diplomatic change.
"Our government remains focused on moving Nauru forward and this policy change is a significant first step in moving forward with Nauru's development," the statement said.
Beijing welcomed Nauru's decision, with foreign ministry spokeswoman Mao Ning saying the one-China principle "is where global opinion trends and where the arc of history bends".
with Reuters