The announcement came days after Taiwan elected.
China said Monday it welcomed Nauru's decision to cut ties with Taiwan, after the Pacific island nation announced it was severing relations with Taipei.
"As a sovereign and independent nation, Nauru has announced... that it has severed its so-called 'diplomatic relations' with Taiwan and is willing to restore relations with China," a spokesperson for Beijing's foreign ministry said.
"China appreciates and welcomes the Nauru government's decision," they added.
Beijing views self-ruled Taiwan as part of its territory and has refused to rule out the use of force to seize it one day.
It does not maintain diplomatic relations with countries that recognise Taipei as a sovereign state.
"There is only one China in the world, and Taiwan is an inalienable part of it," the ministry spokesperson said.
"The Nauru government's decision to resume diplomatic ties with China fully demonstrates once again that the One China Principle reflects the sentiments of the people and is in line with the general trend," the spokesperson added.
"China is willing to open a new chapter in bilateral ties with Nauru on the basis of (this) principle."
The announcement came days after Taiwan elected the independence-leaning Lai Ching-te as its next president.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)