After Nancy Pelosi’s controversial visit to Taiwan, the first consequences arose, because China blocked the importation of citrus and fish of this country, however, did not mess with the manufacture of technological chips.
In this way, the continent’s giant did not disrupt the flow of chips and other industrial components, ora measure whose shock waves would have disrupted the fragile global economy.
However, it blocked the import of other foods from Taiwan such as biscuits and seafood, so the customs website showed that the import of those products was “suspended”.
Military reactions in Taiwan
beijing also announced four days of military operations with artillery fire in the waters around Taiwanwhich could delay or disrupt shipping for the island, one of the largest global traders.
The possible upheaval accentuates fears for weakening global growth, but Asian stocks opened higher on no signs of military moves Chinese immediately.
The Communist Party says a visit by Nancy Pelosi could embolden Taiwan to declare its decades-old de facto independence permanent. According to Beijing, that would provoke a war.
Strain for decades
The continent and the island, divided since 1949 as a result of a civil war, do not have official relations, but they do maintain commercial ties billionaires, especially in the provision of chips for Chinese factories that assemble cell phones and other electronic devices used by the world.
They built that business during the decades when Beijing threatened to impose Communist Party rule by attacking the autonomous island.
We recommend you read:
- US declares a national health emergency over monkeypox
- Bank of America reduces Mexico’s economic growth to zero in 2023
- People killed by monkeypox will be cremated in Honduras
Taiwan, which makes half the world’s chips and has technologies the mainland can’t matchsaid sales to Chinese factories rose 24.4% to $104.3 billion.
“The global economy cannot function without chips made in Taiwan or China,” Carl B. Weinberg of High-Frequency Economics said in a report.