TAIPEI (TVBS News) — Taiwan Foreign Minister Joseph Wu highlighted on Monday (July 17) the crucial role of Taiwan's semiconductor industry to the global community in the latest TVBS Meeting Room with Former U.S. Secretary of Defense Dr. Mark T. Esper hosted by TVBS commentator Wenchi Yu.
Producing 60% of the global total output of semiconductor chips, and about 92% of the most advanced semiconductor chips, Taiwan's dominance in the semiconductor industry is without a doubt.
However, Yu remarked that "it has become a double-edged sword for Taiwan's leading chip manufacturing companies." In other words, some companies, such as TSMC, are investing plants in other places, for example, the United States and Japan.
Wu responded that the semiconductor manufacturing diversification could bolster Taiwan's global position. It has also led to more international investments in Taiwan, making it "safer than before."
"The international community now understands the kinds of impact that the world will have if China launches war against Taiwan," he said.
On the other hand, the U.S. is also facing a chip war. Yu remarked that the Biden administration has been implementing restrictive investment policies, especially for high-tech exports, "in the name of national security." She asked Esper if the restrictive policies slowed or accelerated China's technological advancement.
To which Esper responded with support of restrictions on technology exports to China. He said the restrictions concern national security and economic security, especially when the semiconductor chips are the "lifeline" and "lifeblood" of today's economy, economic prosperity, national security and way of life. The chips would also allow China to "fuel their industries and their military," Esper said.
"We cannot allow a third authoritarian regime to dominate these key industries because we will suffer as a result," Esper said.
