That means Taiwan's independence is only de facto, not de jure, and that is a very bad thing for Taiwan's prospects. Particularly in a world where China now has much more economic power than Taiwan.
I'm not talking about "right". Like I said, I think Taiwan should be independent. But, I'm not optimistic about that continuing to be the case over the long run. China seems to really, really want it, and to be patient about it.
The United States still has enough force in the area to force the PRC's hand if it invaded Taiwan tomorrow, but quite frankly I think Taiwan has better prospects of seeing the next 50 years as an independent nation than the United Nations does existing in 50 years.
The difference is there is a large fraction of the population in Taiwan that is willing to trade away all of those claims including their claim to the name of China and become an independent State outside of China.