Semiconductor chips had been the principle subject at an adjoining convention within the Hilton Bonnet Creek this week. An worker of mine spoke with one attendee who stated shareholders had been involved that their manufacturing headquarters had been situated in Taiwan. Ought to they be involved?
I’m advised the overall consensus was that even within the occasion of China following by with its One China coverage, the corporate believed that China wouldn’t need to lose such a profitable enterprise cope with the US.
I hate to be the bearer of unhealthy information, however the US shouldn’t be the one nation lining as much as buy chips. Most tech corporations NEED these semiconductor chips and the world by no means really recovered from the scarcity a number of years in the past. This specific firm produces top-tier chips and there’s an especially excessive demand for them. Individuals pays high greenback.
Take a look at what occurred in Russia. We’re nonetheless buying Russian oil however by third celebration nations like India who flip round and promote it at a premium. Power is costlier for everybody within the West now. China may implement retaliatory tariffs for the US and anybody else disobeying the One China coverage and China is strategic sufficient to know that slicing off the West’s provide of semiconductors can be a financial blow.
Socrates precisely predicted Taiwan’s election outcomes earlier within the 12 months and we noticed a path change again in January. Taiwan’s new President Tsai Ing-wen is essentially the most outspoken Taiwanese chief in opposition to the One China coverage. He has been deemed a risk by the Chinese language authorities. The neocons have stated they’ll defend Taiwan to the tip, whereas China has reiterated that any try and intrude in its affairs shall be met with extreme penalties.
Tsai Ing-wen is raring to strengthen relationships with the US by producing extra semiconductor chips. The US put aside funds particularly to construct up home manufacturing, however shortages stay a major problem.
“Within the face of authoritarian expansionism and the challenges of the post-pandemic period, Taiwan seeks to bolster cooperation with the US within the semiconductor and different high-tech industries. This can assist construct safer and extra resilient provide chains. We sit up for collectively producing democracy chips to safeguard the pursuits of our democratic companions and create better prosperity,” Taiwan’s president acknowledged.
Taiwan’s rising relationship with America is fanning the flames of struggle. The nation’s whole army technique depends on superpowers like America shielding it from China. Our adversaries see that we’re sporting ourselves skinny and placing shall be far simpler than earlier than.
It stays to be seen how relations will pan out with Trump on the helm. All of us keep in mind the notorious US-China commerce struggle below his first administration the place each nations needlessly slapped on tariff after tariff. Let’s additionally keep in mind that it’s going to not be simple for Taiwan to export something if there’s struggle within the Indo-Pacific. Is made in Taiwan a secure guess proper now from a Western perspective? Sadly, the reply isn’t any.
