Written by Thung-Hong Lin and Chun-Yin Lee. This article discusses the impact of China’s tightening control and U.S.–China trade tensions on Taiwanese firms. The authors find that traditional electronics firms have suffered revenue and profit declines, while high-end semiconductor companies have shown counter-cyclical growth. Ongoing tariff negotiations leave future prospects uncertain.
Written by Dominika Remžová. This article examines how Chinese EV and Taiwanese semiconductor investments are reshaping Central and Eastern Europe’s automotive industry. It highlights diverging national strategies, geopolitical implications, and the potential for industrial upgrading amid tensions between economic pragmatism and values-based foreign policy.
Written by Blanca Marabini San Martín. As the EU accelerates its green transition, securing stable and sustainable access to critical minerals will remain a central challenge. This article argues that EU-Taiwan collaboration can support shared climate goals and enhance both parties’ roles in the global green economy.
Written by Ling-Ming Huang. Taiwan’s semiconductor industry grew significantly in the 1970s and 1980s, driven by important government-led strategies aimed at developing manufacturing capabilities for integrated circuit (IC) products in Taiwan. These initiatives laid the foundation for Taiwan’s global dominance in the semiconductor sector and facilitated the establishment of key corporations like TSMC.
Written by Min-Hua Chiang. William Lai (Lai Ching-te) of the Democratic Progressive Party (DPP) secured his election as Taiwan’s 16th president on January 13, 2024. As the DPP extends its rule for another four years, the administration is likely to maintain President Tsai Ing-wen’s economic policies, notably diversifying the economy away from China. Navigating Taiwan’s export-oriented economy through the evolving US-China relationship will pose the most significant challenge for the new administration.
Written by Hsuan Lo. Translated by Yi-Yu Lai. In Taiwan, a narrative concerning the opposition of migrant and Indigenous workers appears to be a continuing source of contention. In 1997, director Ming-hui Yang released a documentary, “Please Give Us a Job.” One of the film’s impressive scenes depicts an off-duty Indigenous worker sobbing uncontrollably in front of the camera while lamenting the employment difficulties caused by the introduction of migrant workers. In 2016, Chen Ying, a DPP legislator from the Puyuma Indigenous community, brought this issue back into the public eye by highlighting the impact of “illegal migrant workers” on the employment of Indigenous workers. Unfortunately, the notion that “migrant workers take jobs from Indigenous workers” has become deeply ingrained.
Written by Jasinder Singh Sodhi. Relations between India and Taiwan have improved significantly over the last two decades, even though the two nations do not have formal diplomatic ties. This is because India officially recognises China as part of its One-China Policy. In the political field, India and Taiwan are both grappling with the Chinese standoff in the Himalayas and Taiwan Strait, respectively. Therefore, reinforcing India-Taiwan relations can stand up to the expansionist plans of China since China is incapable of launching a two-front war on India and Taiwan simultaneously. Thus, the stronger relations India and Taiwan have, the better results it will have for mutual national interest and national security.
Written by Roy Lee. Taiwan has been preparing for CPTPP accession for the last eight years. The economic importance of CPTPP for Taiwan is critical, as it is perhaps one of the limited options available for Taiwan to avoid being marginalised from the Asia Pacific regional integration process. This article starts with a review of key policy rationales for Taiwan’s CPTPP accession, then analyses major challenges and impediments, and offers thoughts on future prospects.
Written by Shihoko Goto. The momentum for Taiwan to be an integral part of the global economic community is reaching unprecedented levels. Taiwan’s ability to keep the pandemic at bay when the international community was first gripped by the rapid spread of covid in early 2020 certainly opened the world’s eyes to Taipei’s efficient, capable responses to emergencies. But the disruptions to global supply chains and the recognition of Taiwan dominating the international semiconductor manufacturing market have catapulted Taiwan’s economic standing. At the same time, growing concerns about ensuring the status quo in cross-Strait relations have only raised awareness of the fragile situation that Taiwan finds itself in. The question is whether Taiwan has suitably leveraged its advantages to ensure its economic prospects and safeguard its future.
Written by Frank Siedlok, Natasha Hamilton-Hart, Hsiao-Chen Shen. As the SARS-CoV-2 virus and the related news spread for the last two years, the shortages of personal protective equipment (PPE) and medical equipment became apparent, causing policymakers globally to panic. Having learned from SARS in 2003, Taiwan foresaw the need to address the demand for facemasks.
Although 2022 may be seen as the continuation of the Covid-19 pandemic worldwide, it has also marked the third year after Taiwan opened its agricultural labour market to Southeast Asian workers. It is widely known in Taiwan that small tenant farmers in the vegetable, fruit, and tea sectors and livestock farmers have been challenged by chronic shortages of seasonal labour.
Min-Hua Chiang examines the growth of Taiwan’s robust ICT industry. China was considered a potentially important competitor to Taiwan’s ICT firms a few years ago. However, China’s effort to reduce its reliance on importing key components was unsuccessful. In July 2021, Tsinghua Unigroup, a state-backed semiconductor manufacturer, filed a bankruptcy request. Chinese chip industry only took 7.6% of total global semiconductor sales. Its equipment and materials for production are still limited to older technologies. The American government has been encouraging manufacturing production at home to reduce imports of key components from overseas. Nevertheless, the high labour cost and lack of qualified workers in the semiconductor industry will make it difficult to reduce its reliance on Taiwan. The greater US-China competition in the high technology industry is only likely to increase the superpowers’ dependence on Taiwan’s semiconductor industry.
Taiwan Insight 