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Palau Koror – China issued a travel warning to its citizens traveling to Palau, saying its citizens “frequently have security cases.” The move comes amid strained relations between the two countries after Palau accused China of launching a cyberattack in March 2024.
The Palau government claimed the attack crippled its financial system and stole more than 20,000 government documents. China has strongly denied any involvement.
China’s foreign minister said on June 6: “China will never interfere in the internal affairs of any country.” However, Palau President Soulanger Whipps expressed concerns at a press conference in Japan, saying he believed China would try to influence Palau’s upcoming elections.
President Whipps detailed potential tactics for interference, including “overpromising,” taking actions “that make us question our relationship with Taiwan (a key ally of Palau),” spreading misinformation, and bribery.
For example, President Whipps reported that Palau delegates attending the 2024 Pacific Asia Travel Association (PATA) Macau Annual Summit were denied entry because there are no formal diplomatic relations between Palau and China.
Whipps further charged that China had “weaponized tourism” by dominating the tourism industry in 2015 by booking rooms and driving out competitors. He stressed that Palau’s tourism industry needs to diversify and attract tourists from other countries.
Interestingly, the number of Chinese tourists has dropped significantly, with other markets accounting for nearly 75% of the number of tourists in March and April 2024. Minister Charles Obichan confirmed that the application for additional flights on the Palau-Macau route is under review.
“For our own economic security, we must diversify. We cannot rely on just one market,” President Whipps concluded.
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