
The US commerce secretary’s remark that semiconductor production should be split “50-50” between the United States and Taiwan has fuelled concerns on the island over Washington’s defence commitment.
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Howard Lutnick told US cable network NewsNation on Sunday that unless Taiwan moved a significant share of its chip production to America, Washington could not guarantee it would defend the island against an attack from Beijing.
Taiwan has long seen its semiconductor industry as a “silicon shield” because its dominance in advanced chips makes it important for global security – and compels the US to protect the self-ruled island.
But Lutnick said the concentration of semiconductor production in Taiwan was a vulnerability for America, not a guarantee for the island.
He said Beijing had been forthright about its ambitions.
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“The Chinese have said, we’re going to take Taiwan – they’re not even shy about it,” Lutnick said. “So this is an issue, and my objective, and this administration’s objective, is to get chip manufacturing significantly onshore.”