In an interview with Bloomberg this week, former US President Donald Trump suggested that if he returns to office, he might alter the US relationship with Taiwan.
Trump believes that Taiwan should pay the US for the defense it provides against China, likening the arrangement to a type of insurance policy.
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Additionally, the former president criticized Taiwan, saying it “stole” the United States’ semiconductor business and called the current White House policy on the issue “stupid.”
“I know these people very well and respect them a lot. They took almost 100% of our chip business. I think Taiwan should pay us for its defense,”
Trump said.
Trump also stated that the United States has made a mistake by investing in chip production in Taiwan, as the island has benefited at the expense of American companies.
Trump’s comments have raised concerns among several tech giants, as Taiwan produces about two-thirds of the world’s most advanced chips (66%), while the US produces only 6%.
Additionally, TSMC has been making rapid progress in producing chips at 3nm, 2nm, and even 1nm, which has increased Chinese interest in the island. In response, Taiwan’s prime minister said that the local government has “done its part” in defense efforts.
During his first term, Trump pressured TSMC to build factories in the US, which had some success. However, despite the new facilities, the most advanced chips still come from Taiwan.
