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Is Trump's Understanding of Taiwan Flawed?

Richard T

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If you compare China 13.6 trillion in GDP versus Taiwan's GDP of 585 billion, are Trumps comments a concern? Does he really expect Taiwan to defend itself and pay for everything? China vs Taiwan Economies: 61 Stats Compared

His comments too on Taiwan taking over the U.S. chip manufacturing sector is worrisome too. Why? Because they are better competitors. They are more efficient. The secret sauce for Taiwan's chip superstardom

This efficiency is in part is driven by FREE MARKETS, which I hope Trump favors. as shown by the bullet points. Taiwan vs. US Chip Subsidies: Bolstering the Sacred Mountain.
  • "Whereas policymakers in the US and South Korea direct government funds toward closing supply-chain weaknesses, Taiwanese policymakers allow companies to determine which technologies to lean into.
  • Whereas lawmakers in the US and EU attach tight strings to the subsidies that administrative agencies dole out, Taiwanese lawmakers write vague laws that grant enormous discretion to government ministries.
  • And whereas local governments in mainland China steer a significant share of the nation’s total semiconductor subsidies, Taiwan’s central government funds and manages the island’s most meaningful incentive programs."

So first, Trump's comments threaten the security of Taiwan and the entire region and secondly they threaten good competition. I know he is running against Biden, but he and many in the GOP need to shore up on foreign policy because this is worrisome. By saying Taiwan should pay the USA defense you have to admit that China loves to hear that. It shows a possible weakness in the USA commitment to defend Taiwan. It also implies that all of SE Asia at more risk and while he considers US defense of Taiwan an "insurance policy" the US friendly SE Asia nations help keep the USA safe as well. Does Trump for instance think the Philippines should pay for all of its defense? That is not in the treaty the USA signed, nor is it possible for such a poorer nation to defend itself. Sure the USA can be isolationist. The result though could be that most of S.E. Asia will be controlled by China, including the 3.4 trillion (out of 16 trillion) shipping that goes through the South China Sea. I know a lot of what Trump says will be tempered by some in the cabinet but I hope he answers more questions in interviews ahead.
I
Questions to be considered:
Is the USA competitive in chip manufacturing?
Does the USA have a commitment to defend Taiwan?
 
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BCP1928

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If you compare China 13.6 trillion in GDP versus Taiwan's GDP of 585 billion, are Trumps comments a concern? Does he really expect Taiwan to defend itself and pay for everything? China vs Taiwan Economies: 61 Stats Compared

His comments too on Taiwan taking over the U.S. chip manufacturing sector is worrisome too. Why? Because they are better competitors. They are more efficient. The secret sauce for Taiwan's chip superstardom

This efficiency is in part is driven by FREE MARKETS, which I hope Trump favors. as shown by the bullet points. Taiwan vs. US Chip Subsidies: Bolstering the Sacred Mountain.
  • "Whereas policymakers in the US and South Korea direct government funds toward closing supply-chain weaknesses, Taiwanese policymakers allow companies to determine which technologies to lean into.
  • Whereas lawmakers in the US and EU attach tight strings to the subsidies that administrative agencies dole out, Taiwanese lawmakers write vague laws that grant enormous discretion to government ministries.
  • And whereas local governments in mainland China steer a significant share of the nation’s total semiconductor subsidies, Taiwan’s central government funds and manages the island’s most meaningful incentive programs."

So first, Trump's comments threaten the security of Taiwan and the entire region and secondly they threaten good competition. I know he is running against Biden, but he and many in the GOP need to shore up on foreign policy because this is worrisome. By saying Taiwan should pay the USA defense you have to admit that China loves to hear that. It shows a possible weakness in the USA commitment to defend Taiwan. It also implies that all of SE Asia at more risk and while he considers US defense of Taiwan an "insurance policy" the US friendly SE Asia nations help keep the USA safe as well. Does Trump for instance think the Philippines should pay for all of its defense? That is not in the treaty the USA signed, nor is it possible for such a poorer nation to defend itself. Sure the USA can be isolationist. The result though could be that most of S.E. Asia will be controlled by China, including the 3.4 trillion (out of 16 trillion) shipping that goes through the South China Sea. I know a lot of what Trump says will be tempered by some in the cabinet but there could be some real consequences for the world if the USA does not honor its commitments to both Taiwan and free markets.

Questions to be considered:
Is the USA competitive in chip manufacturing?
Does the USA have a commitment to defend Taiwan?
Free markets are anathema to US conservatives. It looks like Trump's policies will be right on track.
 
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Astrid

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If you compare China 13.6 trillion in GDP versus Taiwan's GDP of 585 billion, are Trumps comments a concern? Does he really expect Taiwan to defend itself and pay for everything? China vs Taiwan Economies: 61 Stats Compared

His comments too on Taiwan taking over the U.S. chip manufacturing sector is worrisome too. Why? Because they are better competitors. They are more efficient. The secret sauce for Taiwan's chip superstardom

This efficiency is in part is driven by FREE MARKETS, which I hope Trump favors. as shown by the bullet points. Taiwan vs. US Chip Subsidies: Bolstering the Sacred Mountain.
  • "Whereas policymakers in the US and South Korea direct government funds toward closing supply-chain weaknesses, Taiwanese policymakers allow companies to determine which technologies to lean into.
  • Whereas lawmakers in the US and EU attach tight strings to the subsidies that administrative agencies dole out, Taiwanese lawmakers write vague laws that grant enormous discretion to government ministries.
  • And whereas local governments in mainland China steer a significant share of the nation’s total semiconductor subsidies, Taiwan’s central government funds and manages the island’s most meaningful incentive programs."

So first, Trump's comments threaten the security of Taiwan and the entire region and secondly they threaten good competition. I know he is running against Biden, but he and many in the GOP need to shore up on foreign policy because this is worrisome. By saying Taiwan should pay the USA defense you have to admit that China loves to hear that. It shows a possible weakness in the USA commitment to defend Taiwan. It also implies that all of SE Asia at more risk and while he considers US defense of Taiwan an "insurance policy" the US friendly SE Asia nations help keep the USA safe as well. Does Trump for instance think the Philippines should pay for all of its defense? That is not in the treaty the USA signed, nor is it possible for such a poorer nation to defend itself. Sure the USA can be isolationist. The result though could be that most of S.E. Asia will be controlled by China, including the 3.4 trillion (out of 16 trillion) shipping that goes through the South China Sea. I know a lot of what Trump says will be tempered by some in the cabinet but there could be some real consequences for the world if the USA does not honor its commitments to both Taiwan and free markets.

Questions to be considered:
Is the USA competitive in chip manufacturing?
Does the USA have a commitment to defend Taiwan?
What is your expertise?
 
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Richard T

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What is your expertise?
Ties to SE Asia and at least some knowledge of both the USA agreement with Taiwan and the mutual defense treaty with the Philippines.

It is scary that China is likely going to further escalate things at some point. They have in fact promised to reunite Taiwan. China also claims islands, and has even built at least one airstrip on land (waters actually as one airstrip was built from moving the seabed to build up a shoal. Regardless, the International Court has said does not belong to them. Every week, there is some conflict or tactical move. Last week, a Russian ship joined in patrolling the Chinese claimed islands.

As to the markets today, it did not escape anyone that Trump's comments spooked stocks in the chip industry. I am fairly well read in the classics like Adam Smith and Ricardo. I know there is no real true free market, but Taiwan's chip industry has examples that show why they are so good. For instance: "TSMC was founded in Taiwan in 1987 by Morris Chang as the world's first dedicated semiconductor foundry. It has long been the leading company in its field." TSMC - Wikipedia So why does Trump say they took American out of the chip business? The USA was not the first foundry. TSMC is expanding into Arizona, and Germany, so his comments seem out of place. TSMC and Taiwan in general should be lauded for their economic and democratic efforts.

As to free markets in the chip industry, I checked to see if perhaps Taiwan had subsidy advantages. There are some there but nothing more than most countries give. I knew too there were lots of foreign workers In Taiwanese chip plants, even 200,000 or more. However, I saw too that the troubled new TSMC chip plant in Arizona was not only getting subsidies but they have struggled so much that hundreds of Taiwanese chip workers are having to help set the plant up. https://www.reuters.com/technology/...eed-up-building-new-arizona-plant-2023-06-29/

As to Taiwan, one would think that Trump would understand that they live on the edge. Even with the USA's help, it would be a tough go for them to take on China. Taiwan spends 2.5 % of GDP on the military, so I think they are trying to do their own part. As some say the USA could exit its influence in the region. I wonder how that would make Australia feel? There is significant trade interests in the region too.

As to allies, the Philippines was quite useful in WWII and they are once again opening up their bases and cooperation with the USA. As Gov Haley said at the convention, no ones needs to be in 100 percent agreement to vote for Trump, but if one had family in a potential conflict zone in Asia, I would sure want Trump to be on board. Ukrainians have it even worse because there are many in the GOP like Vance that are not very supportive, even detrimental. Less support means more conflict, not less, because the other side is gearing up.
 
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Richard T

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We get involved in foreign wars and affairs, because of large corporation's and their interest.
Sometimes yes, but not always. Will the USA cut and run on their commitments to Asia? It is easy to sign a treaty or an agreement, but when it comes time for support, will the USA be there? I admit though the agreements are not Trump's doing. Leaving partners in a lurch though only embolden enemies, and once successful, enemies are rarely satisfied.
 
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durangodawood

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Its interesting to watch R's elect an R who starts two elective nation-building "forever wars" which are really hard to cut and run from.

And then they feel so burned that they cant even recognize when its ok to help allies or potential allies resist naked aggression.
 
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Pommer

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If you compare China 13.6 trillion in GDP versus Taiwan's GDP of 585 billion, are Trumps comments a concern? Does he really expect Taiwan to defend itself and pay for everything? China vs Taiwan Economies: 61 Stats Compared

His comments too on Taiwan taking over the U.S. chip manufacturing sector is worrisome too. Why? Because they are better competitors. They are more efficient. The secret sauce for Taiwan's chip superstardom

This efficiency is in part is driven by FREE MARKETS, which I hope Trump favors. as shown by the bullet points. Taiwan vs. US Chip Subsidies: Bolstering the Sacred Mountain.
  • "Whereas policymakers in the US and South Korea direct government funds toward closing supply-chain weaknesses, Taiwanese policymakers allow companies to determine which technologies to lean into.
  • Whereas lawmakers in the US and EU attach tight strings to the subsidies that administrative agencies dole out, Taiwanese lawmakers write vague laws that grant enormous discretion to government ministries.
  • And whereas local governments in mainland China steer a significant share of the nation’s total semiconductor subsidies, Taiwan’s central government funds and manages the island’s most meaningful incentive programs."

So first, Trump's comments threaten the security of Taiwan and the entire region and secondly they threaten good competition. I know he is running against Biden, but he and many in the GOP need to shore up on foreign policy because this is worrisome. By saying Taiwan should pay the USA defense you have to admit that China loves to hear that. It shows a possible weakness in the USA commitment to defend Taiwan. It also implies that all of SE Asia at more risk and while he considers US defense of Taiwan an "insurance policy" the US friendly SE Asia nations help keep the USA safe as well. Does Trump for instance think the Philippines should pay for all of its defense? That is not in the treaty the USA signed, nor is it possible for such a poorer nation to defend itself. Sure the USA can be isolationist. The result though could be that most of S.E. Asia will be controlled by China, including the 3.4 trillion (out of 16 trillion) shipping that goes through the South China Sea. I know a lot of what Trump says will be tempered by some in the cabinet but there could be some real consequences for the world if the USA does not honor its commitments to both Taiwan and free markets.

Questions to be considered:
Is the USA competitive in chip manufacturing?
Does the USA have a commitment to defend Taiwan?
I heard on the BBC World Service broadcast that the Chinese are generally thrilled at the prospect of a Second term for Trump, since he talked belligerently, but “started no wars”; (though there are Iranians and Kurds who would like to have his ear to hear their complaints about his first term ).

Gee, why would Chine want a second term in office if they thought he’d be “bad for them”!

Trump’s a chump, the epitome of all of Dunnger-Kruger politicians everywhere, who thinks himself as the “great negotiator” but settles for things (to get them done), rather than for “how good the deal” really was.

Diplomacy is glacial for a reason, he’s only going to have four more years, he’d better be ready to utilize the military since it seems he forget to push those buttons the first go ‘round!
 
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