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Trump: Taipei should pay for US protection

Taiwan gives us nothing

If Trump is re-elected as president, the relationships between Washington and Taipei could change.
If Trump is re-elected as president, the relationships between Washington and Taipei could change.

Trump: Taipei should pay for US protection

As an ally and weapons supplier, the USA are of immense importance to Taiwan. If Donald Trump wins the presidential election in November, this support could be conditioned, the Republican stated.

Donald Trump intends to take a tougher stance towards Taiwan if he is re-elected as US President. Taiwan should pay for the protection provided by the US, Trump stated in an interview with Bloomberg Businessweek published on Tuesday, June 25th. He did not reveal what exactly he had in mind. "We're not any different than an insurance company. Taiwan doesn't give us anything", Trump said. He respected Taiwan. "They've taken approximately 100 percent of our chip business. I think Taiwan should pay for our defense."

The USA is Taiwan's most significant supporter and weapons supplier. Formal defense agreements like with South Korea or Japan do not exist. Considering China, the USA and other countries like Germany refrain from official diplomatic recognition of the state. China regards the democratically governed Taiwan as its own territory.

The fate of the island is significant for the global economy due to its overwhelming role in the semiconductor industry. TSMC, the world's largest contract manufacturer for computer chips, is based there. The company produces, for instance, high-performance processors for Nvidia's artificial intelligence (AI) in the name of Nvidia. Another major customer is Apple. TSMC is currently building new factories in other world regions, including Germany. However, the largest production capacities are still in Taiwan. Therefore, the company is referred to colloquially as "The Holy Mountain for the Protection of the Country".

The Taiwanese Ministry of Foreign Affairs declined to comment on Trump's remarks. Minister President Cho Jung-tai stated that the US and Taiwan maintain good relations, although they do not take place on an official level. His country is striving to strengthen its defense. "Taiwan has continuously increased its defense budget and assumed responsibility towards the international community", Cho said at a press conference in Taipei. "We are ready to take on more responsibility. We defend ourselves and ensure our security."

If Donald Trump wins the presidency again, his stance towards Taiwan may become more demanding, as he suggested that Taiwan should pay for the protection it receives from the USA. Despite the lack of formal defense agreements, China views Taiwan as its own territory and does not recognize it as an independent state.

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