Taiwan is moving to open a new office in Cebu in the central Philippines, and Manila is pushing back on Beijing's objections by saying its One China policy leaves room for working with Taiwan. This is a modest win for Taiwan and a setback for China's effort to isolate it.

• Taiwan's foreign minister Lin Chia-lung confirmed plans for a Cebu office are underway, aimed at building a Taiwan-Philippines economic corridor.
• China's foreign ministry called the move a futile "diplomatic breakthrough" attempt and urged Manila to stick to the One China principle.
• The Philippines' foreign ministry replied that it follows a One China policy, recognizing Beijing since 1975, but this does not stop economic, cultural, and practical cooperation with Taiwan.
• The wording matters: Beijing demanded adherence to its "principle," while Manila deliberately answered with its own "policy," a subtle signal it sets its own terms.
• President Marcos Jr. has described Taiwan as a close neighbor with long-standing business ties, and the two sides already trade and exchange through Manila's MECO office.

Outlook: Taiwan is likely to press ahead with the Cebu office while the Philippines keeps ties with Taiwan practical rather than political, leaving Beijing frustrated but unlikely to change Manila's course.