THE SILICON ISLAND

Why is Taiwan a strategic jewel that Washington wants to take and monopolise?

 

By Sidney Hey

Let no one be deceived. Neither China nor the USA has forgotten the island of Taiwan, which is much more than a geopolitical objective for reasons of political institutionalism or democratic levels. Its importance and the interest it arouses do not stem from altruistic considerations and even less from humanitarian ones. Especially for Donald Trump, who still cannot sleep knowing that the largest and most important chip manufacturing infrastructure for all current industrial activity is based there.

The importance of Taiwan as a centre for semiconductor manufacturing does not concern only the interests of the USA; it is global in nature.

But beyond the fabulous business represented by control of this island (which makes Donald Trump drool), it is a highly priority geostrategic objective for Washington if it wants to keep supply chains for its own industry safeguarded or at least somewhat under control. In that sense, Trump already knows that he has to treat China with kid gloves, since playing the Wild West bully as he already did with the Islamic Republic of Iran could end up sinking the financial economy of the USA.

Semiconductors are essential elements for the civil industry, ranging from the assembly of simple washing machines, through smart mobile phones, smart cars and medical-use chips for subcutaneous implants, to the military industry for the development of AI for missile guidance, avionics and advanced weapons platforms. This entire spectrum encompasses a simple and small component of barely 3 nanometres, which cannot be dispensed with in these areas.

Trump is trapped in a genuine existential dilemma: either he fulfils his promises to Xi Jinping after his visit to Beijing, or he continues supplying the island with offensive weapons systems that threaten the territory of the People’s Republic. We know that the Chinese leader does not trust his American counterpart and there is no shortage of reasons for this, but he also knows that this is what there is to negotiate with.

To be honest, we cannot fall into the silly reductionism of believing that Donald Trump is the problem. These are the simplifications that are used in the editorials of the Western media, very well calculated and intended not to touch the Establishment, which is the one that truly conducts the country’s foreign policy. Obviously, Donald Trump is not a respectable bloke –his comments make that clear– and beyond his comical personality, he is still a highly damaging factor for global peace.

But let’s not be naïve. The USA is like a voracious corporation: it wants something and it takes it, and it will do so by any means, regardless of whether they are Democrats, Republicans or supposed outsiders. Let’s not forget that the Democrats and their last administration with Joe Biden and Kamala Harris were on the verge of creating a war in the Indo-Pacific with their provocative and defiant actions, one of them being when Nancy Pelosi, fully aware of the situation, flew to Taiwan at a time when the PRC navy was surrounding the island with live-fire exercises.

Currently, the Trump administration is quite constrained when it comes to being able to play poker with marked cards. If the Americans want to orchestrate some deceptive manoeuvre to bring Taiwan under their full control, the Chinese will know, and the consequences for business (especially for the technology sector in general) would be fatal. Even a dirty move would give the Chinese the excuse to take the island. And if this were to happen, what would it mean for the USA?

This question has an answer that encompasses various items and all of them are vital for the industrial development and the domestic economy of Americans. As we said above, these very small components serve to set in motion almost all the products and services used on a daily basis both in civil life and in the military field. Knowing this, we see that without Taiwanese semiconductors the USA would not be able to keep data centres, the most advanced military systems including among the latter the anti-missile defence systems (such as THAAD destroyed by the Iranians), communication networks and all the electronics necessary for their maintenance, in operation.

As can be seen, the value of the island is incalculable and its strategic importance is predominant, but would it be advisable for it to place itself under the umbrella of the Americans? I believe the answer to this question lies with the rulers and Taiwanese politicians themselves, who undoubtedly have a vision that goes beyond the simple military security offered to them by the Americans.

A war between the US and China to take control of the island would undoubtedly put the chip production facilities at risk, so such an event would not be good business for any of the parties.

Unlike the Saudis, who have badly sold their soul to Washington so that in theory it would protect them (and the war against Iran showed them the reality), the Taiwanese, unlike those who have their asset (oil) beneath the sands of the desert, beyond all the infrastructure for the development of semiconductors, have it in their minds, and it is as valuable as, or even more valuable than, oil production