The Heritage Foundation's paper suggests that the US should recognize Somaliland's independence as it would enable the US to hedge against further deterioration of its position in Djibouti, which is under Chinese sway. This would reward Somaliland for its commitment to democracy and deliver justice for its aspirations for independence. The autonomous territory of Somaliland is strategically important and the influence Beijing has built in Djibouti threatens the US's ability to defend its interests there. Recognizing Somaliland would give the US a partnership with the territory and a hedge against further deterioration of its position in Djibouti. Hargeisa, the capital and largest city of Somaliland, has already demonstrated its willingness to defy Beijing by establishing a diplomatic relationship with Taiwan. Recognizing Somaliland would also affirm American support for democracy.