Taiwan is a nation.
Taiwan ( [ taɪˈwɑːn ] ) , officially the Republic of China ( ROC ) , is a state in East Asia . Taiwan is the most populous state that is not a member of the United Nations , and also possesses the largest economy of any state outside of the UN . In the 1980s and early 1990s , it changed from a one-party military dictatorship dominated by the Kuomintang to a multi-party democracy with a semi-presidential system . The country benefits from a highly skilled workforce and is among the most highly educated countries in the world with one of the highest percentages of its citizens holding a tertiary education degree . Today only a few smaller nations recognize the ROC as the sole legal representative of China , but many other states maintain unofficial ties through representative offices and institutions that function as de facto embassies and consulates .