The State Of China And Taiwan

Todd Moses
April 11, 2024

China President Xi Jinping on Wednesday reasserted China's territorial claim on democratic Taiwan, likening it to a "family reunion."

Inputs that matter: Radio Free Asia reports, "The meeting comes as Xi's administration has refused government-to-government talks offered by Taiwan President Tsai Ing-wen, who has repeatedly said the island won't be giving up its sovereignty or democratic way of life to be ruled by Beijing."

  • The Chinese Communist Party has never ruled Taiwan.
  • U.S. President Biden has agreed not to support Taiwanese independence but insists on sanctions with China.
  • Japan and the Philippines are now siding with the U.S. in the soft war against China.

The opportunity: CNBC reports, "In October last year, the U.S. tightened restrictions to prevent the sale of artificial intelligence chips and semiconductor tools to China."

  • Nvidia currently manufactures its chips in Taiwan.
  • The Taiwanese manufacturer Foxconn is working with Apple to shift iPhone production from China to India.
  • CNBC reports that Chinese government workers are now banned from using Apple's iPhones.

Zoom in: "U.S. Treasury Secretary Janet Yellen warned China on Monday that Washington will not accept new industries being decimated by Chinese imports," details Reuters.

  • China is the leading supplier of electric vehicle batteries, partnering with most of the world's auto manufacturers, including Tesla, Ford, and G.M.

Between the lines: The U.S. Department of State told Taiwan's Central News Agency on Monday that the U.S. is closely monitoring Beijing's actions.

  • The U.S. explains, "We urge [China] to engage in meaningful dialogue with Taiwan to reduce the risk of miscalculation."
  • At the same time, the U.S. has accused Beijing of waging a disinformation and propaganda war against Taiwan that could undermine the island's democracy.

Follow the money: China President Xi claims Taiwan as a province of China and has sworn to annex it by force if necessary, reports The Guardian.

  • They report, "Amanda Hsiao, a senior China analyst with the International Crisis Group, said Beijing was trying to put on a friendlier face but also probably trying to undermine the ruling party and incoming government, just weeks out from the presidential inauguration of Lai Ching-te, whom Beijing despises."

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