President Donald Trump’s announcement of a $100 billion investment from Taiwan Semiconductor Manufacturing Company (TSMC) has raised alarms in Taiwan, where leaders fear the potential loss of their semiconductor industry due to external pressures.
In response to the announcement, which was made during a ceremony at the White House, former Taiwanese President Ma Ying-jeou criticized the ruling Democratic Progressive Party (DPP), alleging they are “selling TSMC” to secure favor from the US. He called this a “major national security crisis,” warning that it could negatively impact public confidence and the future geopolitical position of Taiwan.
The deal, presented against the backdrop of Trump’s recent heated exchange with Zelenskyy, underscores growing tensions as Trump and other US officials push for greater involvement in discussions surrounding Iran’s nuclear program, while also addressing the intricacies of US-Taiwan relations.
In his remarks, Ma referenced the need for Taiwan to maintain its sovereignty and questioned the implications of a partnership reliant on the whims of foreign powers. The partnership with the US, and the increased military ties, have renewed discussions about Taiwan’s defense strategy, especially given China’s aggressive stance on the region.
TSMC has been motivated to invest in the US not only by demand from major clients like Apple, Nvidia, and AMD but also in response to the looming threat of tariffs. Trump’s conditions for this investment imply a shift in how foreign companies engage with US policy.
Experts caution that while the investment is significant, the political landscape remains fraught with uncertainty, particularly regarding Taiwan’s position and its ability to manage its own affairs without compromising its interests.
As the discussions unfold, Taiwan’s leadership is acutely aware of the delicate balance required to sustain its semiconductor industry while navigating complex international relations, especially with the ongoing pressure from China.
Credit: CNN
