The Times reported on the 17th (local time) that a fierce battle is taking place between the two countries as China is taking over Taiwan manpower and technology by any means to gain the upper hand in the semiconductor industry.
The newspaper said that the recent task of Taiwan’s spy chiefs is to deal with China’s attempts to take over the microchip workforce, the country’s most profitable commodity and the source of power for the global economy.
Although Taiwan has a population of only 24 million, it is an absolute powerhouse in semiconductor production, which serves as the brain of all high-tech devices and equipment, from smartphones to cruise missiles, led by TSMC, the world’s largest producer.
For this reason, TSMC and Taiwan are at the forefront of the hegemonic battle between China and the United States.
The shortage of semiconductors and rising international tensions caused by the supply chain confusion caused by the novel coronavirus infection (COVID-19) show the geopolitical importance of Taiwanese semiconductors.
China has poured $100 billion into the semiconductor industry over the past two decades, but both wasted investment and inefficient top-down decisions by Communist Party officials have failed.
Recently, the Chinese semiconductor industry has been hit harder by the Donald Trump administration imposing technological sanctions to deter China’s semiconductor ambitions and blocking major financial and technology cities such as Shanghai and Shenzhen due to President Xi Jinping’s obsessive pursuit of “zero corona.”
However, Chinese President Xi Jinping, who is eager to foster the semiconductor industry, appointed Vice Premier Liu He as the chief semiconductor officer who will promote China’s microchip independence last year.
China has recently been increasing its cyber espionage activities to extract industrial information from Taiwan and steal manpower to foster the semiconductor industry.
A senior Taiwanese official told Reuters recently that the Ministry of Justice, a spy agency, is investigating more than 100 Chinese companies in connection with spying.
It has already indicted seven Chinese companies this year, cracked down on 27 or summoned owners.