China Accuses Taiwan of Using Semiconductor Industry for Political Leverage

Beijing alleges Taiwan is aligning its chip sector with U.S. interests, while Taipei denies claims and emphasizes TSMC's economic importance.

China's Taiwan Affairs Office has accused Taiwan of leveraging its semiconductor industry, particularly TSMC, to gain U.S. political support, alleging potential collaborations with Intel.
Taiwan's government and TSMC have denied the claims, stating that no plans for joint ventures or acquisitions involving Intel have been reported to Taiwanese authorities.
The U.S. has pressured Taiwan to expand semiconductor production in America, with TSMC investing in a $65 billion facility in Arizona to diversify its operations.
President Trump has threatened tariffs on Taiwan-made chips, expressing frustration over the U.S.'s reliance on foreign semiconductor manufacturing.
Taiwan considers TSMC a critical national asset and has emphasized its commitment to maintaining global leadership in advanced chip production while navigating U.S. trade policies.