Taiwan uses its dominance in the chip industry as diplomatic weapon
The post Taiwan uses its dominance in the chip industry as diplomatic weapon appeared on BitcoinEthereumNews.com. Taiwan stopped selling computer chips to South Africa this week, the first time it has cut off semiconductor supplies to punish a country over political disagreements. On Tuesday, Taiwan’s government said it would not ship certain semiconductors to South Africa anymore. Officials blamed South Africa for doing things that “undermined our national and public security.” The dispute is about where Taiwan can keep its diplomatic office in South Africa. A Taiwan official who didn’t want to be named said the government plans to use business deals and trade rules to get what it wants from other countries. Taiwan might do the same thing to other nations that don’t treat it well, the person said. “By utilizing Taiwan’s position in the global chip supply chain, this looks like Taipei’s attempt at building an autonomous deterrent on the world stage,” said Wen-ti Sung from the Atlantic Council’s Global China Hub. Other countries will now think about what Taiwan might do to help or hurt them, he said. Taiwan tests its world power using the chip trade For years, Taiwan thought its role in making computer chips would keep China from attacking it. Now, Taiwan wants to see if chips can help it win friends and punish enemies around the world. Many countries worry about getting too many chips from Taiwan. In 2022, Commerce Secretary Gina Raimondo said America depending on Taiwan for chips was like Europe depending on Russia for oil. “We cannot afford to be in this vulnerable position,” she told CBS. The US has started making its own chips and getting Taiwan Semiconductor Manufacturing Co. to build factories in America. Other countries would need years and lots of money to copy what Taiwan’s chip companies can do. The US and China have been fighting over who can buy and sell…
The post Taiwan uses its dominance in the chip industry as diplomatic weapon appeared on BitcoinEthereumNews.com.
Taiwan stopped selling computer chips to South Africa this week, the first time it has cut off semiconductor supplies to punish a country over political disagreements. On Tuesday, Taiwan’s government said it would not ship certain semiconductors to South Africa anymore. Officials blamed South Africa for doing things that “undermined our national and public security.” The dispute is about where Taiwan can keep its diplomatic office in South Africa. A Taiwan official who didn’t want to be named said the government plans to use business deals and trade rules to get what it wants from other countries. Taiwan might do the same thing to other nations that don’t treat it well, the person said. “By utilizing Taiwan’s position in the global chip supply chain, this looks like Taipei’s attempt at building an autonomous deterrent on the world stage,” said Wen-ti Sung from the Atlantic Council’s Global China Hub. Other countries will now think about what Taiwan might do to help or hurt them, he said. Taiwan tests its world power using the chip trade For years, Taiwan thought its role in making computer chips would keep China from attacking it. Now, Taiwan wants to see if chips can help it win friends and punish enemies around the world. Many countries worry about getting too many chips from Taiwan. In 2022, Commerce Secretary Gina Raimondo said America depending on Taiwan for chips was like Europe depending on Russia for oil. “We cannot afford to be in this vulnerable position,” she told CBS. The US has started making its own chips and getting Taiwan Semiconductor Manufacturing Co. to build factories in America. Other countries would need years and lots of money to copy what Taiwan’s chip companies can do. The US and China have been fighting over who can buy and sell…
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