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Biden cut the “Taiwan card”, Taiwan is poor and sleepy | blog post

December 01, 2022 18:56 Last updated: 19:08

After Pelosi, the Speaker of the US House of Representatives, visited Taiwan, there were rumors among the Taiwan Strait that a card of “poor Taiwan and poor Taiwan” could be played at any time. However, this card is not in the hands of the mainland but in the US Taiwan is in danger!

TSMC is leaving, and the Tsai government will make it happen.  Taiwan's economy faces challenges in the future.  AP photos

TSMC is leaving, and the Tsai government will make it happen. Taiwan’s economy faces challenges in the future. AP photos

US Treasury Secretary Yellen warned US companies to pay more attention to China’s threat to Taiwan and the negative impact of China’s “do nothing” policy on global supply chains. Based on the geopolitical risks considered by the United States, US President Biden successfully urged TSMC to set up a factory in the United States. 3,000 core engineering personnel and assembly facilities were packaged to the United States. Taiwan media said that TSMC’s internal battle to enter the US collapses.

“TSMC has to go through at least two interviews when going to the United States. The main focus of the interviews is English ability and past performance, and the approval and recommendation of two deputy managers is required. “In other words, not is that elites can’t get into the US situation, why is America so attractive to them? “A (TSMC) senior engineer who went to Phoenix to choose revealed that although consumer prices and tax rates in the United States are high, TSMC doubles the base salary of workers who go to the United States, which is not attractive ok, but going to the US to experience life is the key point, and the potential for future promotion in the company is also more than others.”

According to the data: “The basic salary of TSMC engineers located in the United States is doubled, and the dividends are distributed in the same way as in Taiwan. In terms of residence, employees can choose live in the dormitories provided by the company. The location is in the Deer Valley community not far from the factory. The local monthly rent is US$1,800, and the company provides a monthly subsidy of US$2,000; in also, if the children in the family go to school age, they can study locally, for example, for children aged 2 to 5, the monthly tuition subsidy can be US$700.”

One of the behind-the-scenes factors that the report did not reveal is the Taiwan Strait crisis factor. Yellen said that US businesses must be aware of the geopolitical risks that China poses to Taiwan. “We have indeed seen a series of heightened geopolitical risks, and US companies should be thinking about what those risks are.”

The US is clearly the one playing the game in the Taiwan Strait edition. US lawmakers are poised to support up to $10 billion in defense aid to “strengthen Taiwan’s defenses against rising tensions and threats from China,” according to a new report from Bloomberg. The proposal would authorize the State Department to provide up to $2 billion in foreign military. funding every year until 2027.” The US is playing the Taiwan card more and more fiercely, and Taiwan is very likely to be “broken” by Biden, which means that the Taiwan issue will be match. TSMC moved its advanced chip manufacturing to the US to prevent accidents in the Taiwan Strait, so the US will have no chips available.

“Companies in the United States are also starting to think more seriously about the risks to industrial supply chains posed by China, devolving supply chains from China to market-oriented democracies like India,” Yellen said. He called the concept “friendship.” “Friendship.” ” means that companies should establish supply chains with countries that can be trusted and share common values.

It seems that the United States is taking the above measures against China in order to prepare for war, and it is a good idea for TSMC’s engineering personnel to leave the “land of good and bad”. However, the people of Taiwan have overlooked one point, that is, the removal of TSMC will have a direct impact on Taiwan’s economy. Taiwan is a “shallow” economy and is easily affected. Almost 30% of Taiwan’s economy is based on chips and semiconductors. If TSMC leaves, there will be a “bad Taiwan and bad Taiwan” effect. In fact, it is very difficult for the mainland to use economic sanctions and naval blockade to “poor” Taiwan, but Biden can do it. If TSMC transfers to the United States, Taiwan’s upstream, midstream and downstream industrial chains will follow. If so, a large number of high-income technical families will migrate, and internal consumption will Taiwan will be damaged, and the pillar industries will also be lost. How can Taiwan not be poor in the future?

Of course, at worst, you can export pineapples to earn foreign exchange, as well as lotus seeds and mangoes. If so, Taiwan will be even luckier. Can’t people envy them?

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