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China in East Timor; concern in Indonesia and Australia

Southeast Asia's youngest country has a new sugar daddy

A Chinese laborer works at a construction site in Dili, the capital of East Timor. (Nikkei staff photographer Nozomu Ogawa)

DILI -- China is increasing its influence in East Timor as the small Southeast Asian nation's relations with its traditional aid providers weaken.

East Timor gained its independence in 2002 and has since received assistance from Japan, the U.S. and Australia. Recently, however, it has been on a collision course with Australia over the development of natural resources, and its ties with Japan and the U.S. are fraying.

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