Palau maintains a strong relationship with Taiwan, Palau's President, Tommy Remengesau, says.
His reassurance followed Tapei's decision on Monday to cut ties with Solomon Islands, whose government has moved to recognise China instead.
The move leaves Taiwan with just five diplomatic allies in the Pacific, including Palau.
Mr Remengesau said his country shared values like democracy and freedom with Taiwan.
"We have yet to find out really why Solomons switched, they keep talking about some assessment or feasibility report. We would be very happy to see what made them change their mind," he said.
The preseident said he would prefer not to have to choose between Taiwan and China.