The centre of the global economy and the US-geostrategic focus seem to be shifting to the Asia-Pacific region. The present paper deals with the role of Pacific Island states in this new ‘Great Game’ between China and Western powers. Pacific Island states have a long tradition in building non-confrontational and open ties with rival powers. While only four countries in the Pacific have known mineral resources, others depend mainly on tourism, fisheries and remittances. China is interested in the vast mineral resources in the Pacific Island region, visible in increasing investment. Nevertheless, Australia remains the principal economic and key security partner for most of the Island states. Besides a painful colonial history, unequal distribu...