Fear and resignation according to Trump's 100 billion dollar protection fee
Fear and resignation according to Trump's 100 billion dollar protection fee
The surprising ceremony in the White House, led by President Donald Trump, announced an investment of $ 100 billion, which he described as the "most powerful company in the world", the Taiwan Semiconductor Manufacturing Company (TSMC).
political fears in Taiwan
But almost 12,800 kilometers away, the mood in Taiwan was anything but solemn. The surprising announcement triggered fears that Taiwan could lose its main supports, the world's leading semiconductor industry, to the USA due to political pressure situations. Former President of Taiwan, Ma Ying-Jeou, accused the Governing Democratic Progress Party (DPP) of selling TSMC as a "protection fee" to Trump. On his FROCK MA on March 4. After the ceremony in the White House that this is a serious national security crisis that will have a negative impact on the trust of the population, the relationships between Taiwan and the mainland as well as the geopolitical future of Taiwan.
to calm the public, Taiwan's President Lai Ching-Te performed in the Presidential Office in Taipei last week with the CEO of TSMC, CC Wei. He emphasized that the company's US investments would not endanger the obligation towards Taiwan's home base and its planned expansion. TSMC produces more than 90 % of the world's progressive microchips that drive everything from smartphones and artificial intelligence to weapons. Many in Taiwan believe that the global dependence on these semiconductors acts as a kind of "silicon protective shield" that serves as a deterrent against a potential Chinese invasion. The Chinese leadership looks at Taiwan despite never existing control as part of their territory and swore to take over the autonomous island by force. In recent years, Beijing has strengthened its military activities around Taiwan and regularly conducts exercise flights and maneuvers in the waters near the island. Taiwan rely on the US military and political support. As part of the Taiwan Relations Act, the United States is legally obliged to provide Taiwan the funds to defend itself against China's possible attacks. But Trump's most recent rhetoric has triggered uncertainty about the future of US-Taiwan relationships. He repeatedly accused Taiwan of having "stolen" the US neckline industry. Many on the self-governing island increasingly hear the slogan "Ukraine today, Taiwan tomorrow", while watching Trump throws the long-term US politics and approaches Moscow while he is traditional European allies and alienates Kiev. After the announcement of TSMC, many concerned citizens expressed their concerns. Tammy Chao, a pensioner, compared Trump's approach to his policy towards Ukraine and described him as a "dealer" who could possibly treat Taiwan as a negotiating extent. "Taiwan soon, as he said to Zelensky, will not have any cards to play, and TSMC was the best card," she added. security of the domestic industry
China's territorial claims
US-TAIWAN relationships in change
market reactions on the TSMC announcement
follow for the global semiconductor industry
tsmcs investment marks the latest step of a wave of companies that invest massive sums in the USA. In contrast to bidens approach to promote domestic investments through subsidies, Trump uses tariffs as a means of pressure. With the introduction of 25 % punitive tariffs, he has already threatened semiconductors and other industries. TSMC's decision is seen as part of a trend in which the company react to make Trump happy despite possible future uncertainties.
The upcoming developments will be crucial, especially since companies such as Samsung and Intel could also come under pressure while China and the geopolitical tensions stop.
final considerations
Overall, the situation around TSMC and the semiconductor industry in Taiwan will continue to remain a central topic in international politics and business, especially in view of the continuing challenges and uncertainties in the region.
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