Former President Donald Trump has issued a public warning to the semiconductor industry, urging companies to relocate manufacturing operations to the United States amid rising geopolitical tensions surrounding Taiwan.
Trump suggested that China may not wait indefinitely regarding Taiwan, adding that Chinese President Xi Jinping could be strategically waiting before making a move. His remarks come as roughly 90% of the world’s advanced semiconductor chips are produced in Taiwan, an island located just 100 miles from the Chinese mainland.
The comments have renewed concerns about global supply chain vulnerabilities and the potential risks facing the semiconductor sector if tensions between China and Taiwan escalate further. Some analysts believe financial markets are still underestimating the geopolitical risks tied to Taiwan’s critical role in global chip production.