Taiwan’s Premier Cho Jung-tai has expressed the island’s readiness to assume a greater role in maintaining stability in the Taiwan Strait, following remarks made by former US President Donald Trump suggesting that Taiwan should contribute financially to its defense.
Cho emphasized the strong relationship between Taiwan and the US in recent years, stating that Taiwan is prepared to enhance its collaborative efforts in safeguarding the Taiwan Strait and the broader Indo-Pacific region for the benefit of its own defense and security.
Highlighting Taiwan’s commitment to bolstering its defense capabilities, Cho mentioned that the government has proposed a record-high defense budget of $606.8 billion New Taiwan Dollars for 2023, reflecting a 3.5% increase from the previous year.
Former President Trump had criticized Taiwan for not providing compensation for US defense support, likening the relationship to that of an insurance company. He also raised concerns about Taiwan’s dominance in semiconductor production, particularly citing TSMC, the world’s largest chipmaker.
Taiwan, known for producing approximately 90% of the most advanced semiconductor chips globally, has faced pressure to diversify its production base due to geopolitical tensions. TSMC recently received a substantial investment from the US government to establish new chip manufacturing facilities in Arizona.
In response to potential US pressure to relocate chip research and development activities to the US, Premier Cho expressed confidence in retaining these resources within Taiwan, emphasizing the strategic importance of maintaining such operations on the island.
