What is China -Taiwan Issue and role of the US? - Seeker's Thoughts

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What is China -Taiwan Issue and role of the US?

The China Taiwan Issue comes on surface from time to time and the reason remains - the politics. 
China consider Taiwan as its territory.  

China's position on Taiwan region’s participation in WHO activities, including WHA is clear and consistent. It must be handled according to the ‘One China’ principle
                                                                                     -Chinese embassy spokesperson Ji Rong

Duringm  the time of Covid-19 Pandemic, the relation between the United Nations and Taiwan has strained more, while the United State supported Taiwan claim to act as an independent nation. The relationship between China - and the U.S remains filled with conflict. 

However, in May 2020, the United state under Trump Administration has increased the support for the island- Taiwan. Not only that arm sales and laws to help Taiwan was also offered by the United States. 
Donald Trump

China claims democratic and separately ruled Taiwan as its own territory, and regularly describes Taiwan as its most sensitive and important issue in ties with the United States.
The another development happened when the Taiwan Allies International Protection and enhancement initiatve (TAIPEI) act was signed by Mr. Trump in March 2020 during the pandemic outbreak.
Also Read,

Does Taiwan have diplomatic Relations with countries?

Taiwan now only has diplomatic relations with 15 countries, almost all small and developing nations like Nauru, Belize and Honduras.

Understanding the relation of China and Taiwan.
The Nation of China has two separate authorities – The Republic of China- is knows as Taiwan and The People’s Republic of China is known as China. At present, the large majority of the world has official diplomatic relations with Beijing while still retaining economic and cultural ties with Taipei. 
The geographical representation of China and Taiwan
The geographical representation of China and Taiwan

The government operating on Taiwan is a self-sustaining, fully functional, democratically-elected government unrelated to Beijing with its own economy, currency, etc.
Taiwan is an independent "country" is a very large grey area which cannot possibly be covered however it is important to understand that Taiwan has been governed separately from mainland China since 1949 when the Republic Of China (Taiwan) government relocated to the island after military defeat by the communists, and locally governed since the 1980s (as opposed to politicians from mainland China who fled to Taiwan).
So, when it comes to economic interest, it is a complicated issue. 

Taiwan has a limited economic and diplomatic capacity.  However, two entities share the similar heritage, language and culture, yet the future aspirations politically may differ- that is where the complexity starts.

Taiwan is China's most sensitive territorial and diplomatic issue and Beijing has never ruled out the use of force to bring the island under its control. The narrow Taiwan Strait which separates the island from China is a frequent source of tension
 What happens in Taiwan Locally?
Apart from economic prosperity, when it comes to politics- there are two political groups- first is named as the Democratic Progressive Party, who has been gaining more support. This part is more about the idea of independence.
The second party is named as Kuomintang Party, which favors the unification with China. The party lost election during 2000-2008.
The conclusion is that- Taiwan actively wants to gain sovereignty and want to make sovereign decisions.
 What does China want?
China needs to reunite with Taiwan, by force if necessary.  That has been evident since China reacts badly whenever, Taiwan's claim to be as a nation is supported. That has created rift occasionally between China and the United States as well. 

The US  and Taiwan Relations 
The US has adopted one China Policy during the Carter administration in 1979. The US has strategically dealt with Taiwan.  Taipei’s relations with China has changed since the election of Donald Trump as a president of America.
America since the time of Donald Trump sought to leverage Taiwan to pressure China in the U.S.’s ongoing trade war.
Donald Trump received the congratulatory from Ms Tsai, who is from the Democratic Progressive Party on his poll victory.
The episode raised concerns over the status of U.S.-China diplomatic relations, established in 1979, and the consequent downgrading of the U.S.’s ties with Taipei to unofficial exchanges.
 The 2018 Taiwan Travel Act aims to promote greater engagement between Washington and Taipei.
Similarly, the new headquarters of the American Institute in Taiwan in Taipei is symbolic of the shift. The Taiwanese President’s recent visits to the U.S. and interactions with several Congressmen have predictably angered Beijing.

Washington has no formal ties with Taiwan but is bound by law to provide the island with the means to defend itself and is its main source of arms.
The Tension between China and Taiwan
The closeness with America did not go well with China, and China used its relations with developing nation as a tool against Taiwan. As a result, many African nations withdrew the formal ties with Taiwan since Ms Tsai was elected as president.
On The Other hand, Taiwan has alleged that the recent mayoral election was meddled by Beijing. China was accused by Taiwan for funding the opposition party which seek for unification with China.

The United States and China did not have a smoother relationship in trade in recent years. The conflicts did not seem to end well and there were predictions from the International Monetary Fund that the world’s economic growth will reduce due to ‘protectionism’. At the end of June 2019, the G20 Summit was held in Osaka, Japan. 

During the summit, China did speak against the tendency of protectionism. There were some good developments as well as both countries the United States and China hinted to restart the negotiation on the basis of equality and mutual respect. 

The U.S. and China Conflict –What had happened so far?
The U.S.- China often lock horns and can not come to terms of peace in trade. Their conflict not only threatens them but the entire world will face the consequences of the trade war.
Image Credit- Law.com
In April 2019, the International Monetary Fund reduced the projection for global growth in 2019 to 3.3%, from a 3.5% forecast made in January, citing slowing momentum in “70% of the world economy”. 

The fact is adding evidence that the trade war is not good for the world’s growth.
According to the World Economic Forum, a full-blown US-China tariff war could reduce global GDP growth by 0.7 percentage points (pp) to 2.8% in 2019. 

The impact would be greater on China’s growth (-0.9 pp), due to direct trade effects, and on Europe (-0.8 pp), due to indirect trade effects and financial links (see table). US GDP would decelerate by less (-0.4 pp), due to less direct trade effects and indirect financial links.
The increase in tariffs imposed on goods crossing international borders essentially represents a new tax on a global economy already facing a slowdown. 

In the multipolar, world there remains a struggle to stay strong and powerful.

The world is no longer dominated by two powerful nations US, and USSR. 

Today the power struggle remains between multiple countries like the US and China are also locking horns against one another.

 More to know
In December 2018 the opposition party gained popular support in local elections which indicated unification with China. Democratic Progressive Party Chief President Tsai Ing-wen has stepped down as the party chief taking the moral responsibility for set back.
Taiwan government also did not want a long dispute with China.
Taiwan sports team always participated under the Chinese Taipei, however, there was a referendum to rename Olympic team as – Taiwan. People rejected the change in name, that clearly shows that there remains a greater preference to maintain the status quo.