June 5, 2020 Taiwan was a valuable source for economic and agricultural production for the Japanese, and when it was turned over to the Chinese, it was used to increase agricultural production rates. Since the Cairo Conference in 1943, Taiwan and the Penghu Islands were already decided to be given to China following the surrender of Japan. Before moving the Nationalist Government leaders, a state government was already established over Taiwan. As the Communists began claiming the advantage over the Nationalists military, Nationalist officials and many Nationalist supporters began to take refuge in Taiwan and establish their new government in Taiwan.