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This paper will argue that while formally noncommittal in regards to competing claims of mainland Chinese and Taiwanese governments as to their respective status as international representatives of “China,” the One China Policy, as practiced by external actors since the 1970s, has, in fact, undermined Taiwan’s international standing. Designed to accommodate the inescapable importance of the mainland, the One China Policy turned into a framework steadily marginalizing Taiwan. Since the onset of the rise of mainland China in the 1990s Taiwan’s international position has become even more legally and politically precarious. The number of countries formally recognizing Taiwan’s claims has progressively declined to seventeen and Taiwan is excluded from membership of even technical international organizations if the mainland objects. Still, the One China Policy is the best option Taiwan has if it wants to maintain its de facto independence. Any attempt at unilateral change of Taiwan’s status (such as declaring independence) will result in Taiwan facing the mainland alone. Post-1945 international society has maintained strong opposition to unilateral claims of statehood and Taiwan would very likely add just another case to that highly consistent record. As paradoxical as it may seem, the One China Policy is - today and for the foreseeable future - both a straitjacket and the best means of protection for Taiwan.