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China Threatens Economic Retaliation Over Taiwan Support

1/31/2026

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Story summary
  • Xiao Qian, Chinese ambassador to Australia, said Beijing may use economic measures against Australia if it does not align with China's stance on Taiwan.
  • He emphasized that support for China's reunification is crucial for stable bilateral relations.
  • Australia’s One China Policy acknowledges the Chinese Communist Party's claim over Taiwan but does not equal full agreement.
  • Australia maintains some recognition of Taiwan's self-governance and has encouraged its participation in international organizations.