This article analyzes Taiwan’s strategy of “Austronesian diplomacy,” exploring the complex interplay between the government’s use of indigenous heritage for political gain and genuine efforts to empower indigenous communities. The analysis centers on the National Museum of Prehistory (NMP) in Taitung, Taiwan, as a key example of successful museum-indigenous diplomacy. The NMP distinguishes itself by moving away from Taiwan-centric origin stories, instead prioritizing the development of collaborative regional partnerships. However, the museum continues to navigate challenges stemming from overarching state objectives and regional geopolitical dynamics. The study highlights the tension between state-led initiatives and authentic, community-driven approaches to preserving and promoting Austronesian heritage. Ultimately, the NMP provides a crucial model for reciprocal engagement between museums and indigenous groups in Taiwan.