Well, I've looked through the thread and noticed nobody gave any quotes on this so I will:
Quote:
"Eärendil is Túor's son & father of Elros (First King of Númenor) and Elrond, their mother being Elwing daughter of Dior, son of Beren and Lúthien: so the problem of the Half-elven becomes united in one line. The view is that the Half-elven have a power of (irrevocable) choice, which may be delayed but not permanently, which kin's fate they will share. "
(Letter #153)
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Quote:
' Dior their son, it is said, spoke both tongues: his father's, and his mother's, the Sindarin of Doriath. For he said: 'I am the first of the Peredil
(Half-elven), but I am also the heir of King Elwe, the Eluchil.' (HOME XII)
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Quote:
"Now fare the long days of Elfinesse unto that time when Tuor
dwelt in Gondolin; and children then had Dior the Elf," (The Book of the Lost Tales II)
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Quote:
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'Dior the Elf' is an emendation from 'Dior then an aged Elf'. (The Book of the Lost Tales II)
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Well, as seen above in the first writings on this topic Tolkien considered him an Elf clearly.
In later writings this becomes unclear. The quote from Letter #153 shows that Dior was given this choice. The question remaining is which choice did he make.
Considering what we know about him, I personally see him as an Elf. We know he was named "Thingol's Heir", and he was King of Doriath. I doubt the Elves would have accepted a Man as their ruler, even if he was the rightful heir to the throne. Also, there is one other example of a Half-Elf that rules over Elves - Elrond - and it is well known which choice he made.