U.S. funding delay could create opening for China, Pacific Island nations warn

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HONG KONG — The budget impasse in Congress has further delayed crucial funding for three U.S.-allied Pacific Island nations, potentially making them more susceptible to influence by China, including over Taiwan, their leaders have warned. Palau, the Marshall Islands and the Federated States of Micronesia are former U.S.-administered trust territories that are now independent states and maintain close U.S. ties through agreements known as Compacts of Free Association (COFA). In exchange for economic assistance and defense guarantees, the three countries give Washington exclusive military access to an area of the Pacific that is bigger than the continental United States, at...