The TRA provides for recognition of Taiwan, but explicitly not for diplomatic relations at the full Ambassador/Embassy level. Instead of an Embassy for example,

The TRA provides for recognition of Taiwan, but explicitly not for diplomatic relations at the full Ambassador/Embassy level. Instead of an Embassy for example, there is a liaison office. You and I might think of it as identical to an Embassy, but its a bit of legal sleight of hand from the 1970s to keep China feel respected and make the Taiwanese feel happy. If you look at official photos of visits you never see the TW or US flags together for example like you would do if, say, a diplomat from the US visited France. Taiwan feels like one of those cases where a little ambiguity is actually safer for all concerned than a clear position. You ideally want a situation where the mainland can saber rattle occasionally to keep their domestic audience happy and where Taiwan can sometimes make it sound like an independent state, but neither moves down the track any further. An invasion attempt by China or a unilateral independence motion by Taiwan would be a disaster for all three parties, the Taiwanese, mainland China and the US.