Generate text that refutes this claim: Economically beneficial  Switching diplomatic recognition to China can be economically beneficial. A country that changes recognition is both likely to be given a reward for the change and then be much capable of engaging in joint economic projects with the PRC. Malawi for example cut its ties with Taiwan at the end of 2007. PRC offered a $6billion financial package for the defection. [1] Malawi has since benefited from large amounts of Chinese investment; Chinese companies have been involved in building vital infrastructure such as schools and roads, and even a new parliament building. [2] And trade between China and Malawi has been booming with growth of 25% in 2010 alone. [3] Even the Chinese believe that recognition occurs as a result of the economic incentive the Chinese envoy to Malawi having been quoted calling Malawi beggars. [4]  [1] Hsu, Jenny W., ‘Malawi, Taiwan end 42-year relations’, Taipei Times, 15 January 2008,   [2] Ngozo, Claire, ‘China puts its mark on Malawi’, theguardian.com, 7 May 2011,   [3] Jomo, Frank, ‘Malawi, China Trade to Grow 25% on Cotton, Daily Times Reports’, Bloomberg, 15 December 2010,   [4] ‘Chinese Envoy's Remarks on Malawi Breed Resentment’, Voice of America, 1 November 2009,
africa asia house would sao tome drop relations taiwan favour mainland
The PRC does not ignore countries that do not have diplomatic relations with it. São Tomé is a case in point; PRC is opening a trade mission in the country despite not change in diplomatic recognition. This is in part because the Chinese are taking part in a $400million deep-water port development. [1] Not engaging in diplomatic relations with the PRC does not damage economic relations.  [1] ‘China to open mission with tiny Sao Tome, despite its Taiwan links’, Reuters, 14 November 2013,