Taiwan and Honduras no longer have diplomatic relations.

Honduras has ended diplomatic relations with Taiwan after decades of engagement with the contested island territory, the country's Foreign Ministry announced on Sunday. The move comes less than two weeks after President Xiomara Castro revealed that Tegucigalpa would establish relations with Beijing. The Chinese Foreign Ministry hailed the decision as "the right choice" as the two countries' foreign ministers signed a declaration in Beijing. Taiwan's foreign minister, Joseph Wu, blamed greed for the shift in loyalties, claiming Honduras had asked Taiwan for $2.45 billion to build a hospital and a dam, as well as for a debt write-off. Analysts sympathetic to Taipei argued that China's promises of economic wins were "illusory" at best, claiming that other countries had been burned on pledges of investments and job creation.

Beijing has already contributed $300 million and construction assistance to a hydroelectric dam project in Honduras, leaving just 13 countries offering full diplomatic recognition to Taipei. Nine nations have severed ties since the current president, Tsai Ing-Wen, was elected in 2016. Beijing considers Taiwan to be part of its sovereign territory and has vowed to peacefully reunify with the island, while reserving the right to use military force if necessary.