What was the origin of the territorial dispute over Taiwan?

A.
People from both China and Japan settled on the island in the late 16th century.
B.
South Koreans fled to the island when the North Koreans drove them off the Inchon Peninsula.
C.
China developed a whaling trade on Taiwan, threatening Japan's dominance of that industry.
D.
Chinese nationalists fled to Taiwan when the People's Republic of China was established.

Please select the best answer from the choices provided.

D. Chinese nationalists fled to Taiwan when the People's Republic of China was established.