State of Asia — it’s holding area back, washed-out (6)
I believe the answer is:
taiwan
'state of asia' is the definition.
'taiwan' can be an answer for 'state' (I've seen this before). I'm not sure about the 'of asia' bit.
'it's holding area back washed-out' is the wordplay.
'holding' is an insertion indicator.
'area' becomes 'a' (maths abbreviation).
'back' is a reversal indicator.
'washed out' becomes 'wan' (I've seen this in another clue).
'it' enclosing 'a' is 'iat'.
'iat' back-to-front is 'tai'.
'tai'+'wan'='TAIWAN'
Can you help me to learn more?
(Other definitions for taiwan that I've seen before include "Disputed island off china, used to be Formosa" , "SE Asian island" , "China Sea island, strait" , "Large island off China" , "I want a turn on this island" .)