If you dare to step on the Taiwan issue, you will fight back! China said that if the United States wants to negotiate, it will give respect, affecting Taiwan's chip supply chain

While the world is paying attention to the direction of the US-China trade war, the Chinese government has also relaxed its willingness to talk for the first time, but it has also drawn clear lines, including "respect, unified position, and designated window dialogue". Taiwan has also been singled out as one of the strategic focal points that the two sides must face up to before resuming negotiations. And because the United States banned Huida (NVIDIA) from exporting H20 chips to China, Taiwan's chip supply chain was also involved in the core of the storm.

China named Taiwan, and the attitude of the United States became an observation indicator

According to Bloomberg, China is not only concerned about tariffs and chip export controls, but also made it clear to the United States: "We will not take the initiative to provoke, but if the United States steps on the Taiwan issue, China will definitely respond."

This has made Taiwan, which was already under military pressure from the first island chain, once again a high-risk area under the struggle between the United States and China.

The chip war has escalated, and Taiwan's status has become more sensitive

The United States upgraded export restrictions on 4/16, prohibiting Huida (NVIDIA) from selling low-end AI chips H20 to China, igniting a technology war. As the world's most critical semiconductor production base, Taiwan is inevitably used as a "sandwich":

For China: Taiwan is a "core interest" and one of the most advanced chip technology regions

For the United States: Taiwan is a trusted supplier of chips and is geostrategically vital

This means that whether the two sides negotiate or not, Taiwan has become a bargaining chip for both sides.

( Huida H20 chip was restricted from export to China by the United States! The estimated loss was $5.5 billion, down 6.3% ) after hours

Whether Taiwan will become a bargaining chip in Sino-US negotiations is a polar view

Assuming that the United States and China want to restart negotiations and make mutual concessions, Taiwan may be seen as a sensitive issue that can be exchanged.

Although China has not publicly asked the United States to back down on the Taiwan issue, according to White House think tank expert Scott Kennedy, "Beijing regards Taiwan as a core issue, and if the United States wants to advance negotiations, it is likely to be forced to deal with Taiwan-related policy positions."

However, there are also views that the Trump administration has so far openly supported Taiwan strongly, including arms sales, trade exchanges, and political interaction continue to increase, and it is unlikely to rashly let go on the Taiwan issue in an election year.

How Taiwan should respond, please pay attention to three major priorities

Maintain stability in strategic cooperation with the United States: including deepening trade, supply chain, military, and diplomatic ties, reducing the risk of sacrifice

Pay attention to Taiwan's terminology and ranking in Sino-US negotiation discourse and documents: If Taiwan is shifted from technical cooperation to "strategic, sensitive issues", the wind may change

Establish important bargaining chips other than TSMC: Think about what is left of Taiwan besides TSMC?

This article Dare to step on the Taiwan issue and fight back! China says that if the United States wants to negotiate, it will give respect, affecting Taiwan's chip supply chain First appeared in chain news ABMedia.