Fear and resignation after 'world's most powerful company' pays Trump a $100 billion 'protection fee'

[BumRushDaShow]

Source: CNN Business

Published 6:00 PM EDT, Thu March 13, 2025


Hong Kong/Taipei CNN — It was a surprise ceremony at the White House presided over by President Donald Trump to unveil a $100 billion investment from what he called the world’s most powerful company, Taiwan Semiconductor Manufacturing Company (TSMC). But nearly 8,000 miles away, the mood was far from celebratory.

Instead, the shock announcement last week has reignited fears in Taiwan about losing its crown jewel, its world-beating semiconductor industry, to the US due to political pressure. The island democracy’s former President Ma Ying-jeou wasted no time in accusing the ruling Democratic Progressive Party (DPP) of “selling TSMC” to Trump as a “protection fee.”

“This is a major national security crisis,” Ma, a member of the opposition Kuomintang (KMT), wrote on his Facebook page on March 4, shortly after the White House signing ceremony. It will “’have a significant negative impact on people’s confidence, cross-strait relations and Taiwan’s future geopolitical position.”

To reassure the public, Taiwan President Lai Ching-te appeared alongside TSMC CEO CC Wei last week at Taipei’s presidential office, saying the company’s US investment would not undermine its commitment to and planned expansion in its home base. TSMC produces more than 90% of the world’s advanced microchips, which power everything from smartphones and artificial intelligence to weapons. That’s why many in Taiwan believe that global dependence on its semiconductors serves as a “silicon shield,” a deterrent against a potential Chinese invasion.

Read more: https://www.cnn.com/2025/03/13/tech/taiwan-tsmc-us-investment-reactions-intl-hnk/index.html

[Ray Bruns]

1. Just another Foxconn scam in the making.

[orangecrush]

2. Mob boss

[Old Crank]

3. We get them making stuff here

Then we can abandon the defence of the island.

China gets it back. With little regard for the citizens.

[FakeNoose]

6. The Taiwanese people will want to move to Hawaii before that happens

However I think the Japanese have already bought up all the property there...

[Calista241]

4. Joint Sword 2025, the Chinese PLAN exercises are happening in May

One of the few times of year the seas are right for a potential invasion of Taiwan. Everyone seems to think 2027 is the year China is targeting for the takeover of Taiwan, but it would surprise no one if they attempted to do it sooner.

Right now, the US is the weakest we've ever been in terms of naval power, since WW2 at least. Ukraine has taught us that our inventory of missiles, bombs, drones, artillery and other weapons is laughably low. War games show that we have enough missiles to last for 8 days of full scale conflict with China. If China thinks they are able to weather the storm, and are still able to operate the military on Day 9+, that's when they'll choose to invade.

Taiwan, via TSMC, is making sure the US won't leave them out to dry should China try to invade. For the US, and indeed for the rest of the world, diversifying the supply chain of chips should be the single top national security priority of every nation. It's going to take 10+ years to develop those manufacturing supply lines in the US. A trade-off of technology should be seen as well worth it as China approaches their nationalistic timetables.

[Icanthinkformyself]

5. Does the bribe

come before or after the transfer. We think of them as fascists and the Republicans are. But, the primary model for how they perform government functions is the mafia. I guess, in the end, it doesn't matter what we call it. Nothing good will come of what is happening and it is destined to not end well.

[ananda]

8. Great litotes there!

"Destined to not end well" is probably the understatement
of the century!

[reACTIONary]

7. The US needs a strong domestic chip production capability....

.... That's what the CHIPS act is / was all about. This is a step (just a step) in the right direction.