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| Photo Credit: AP. |
Authorities in China have imposed import restrictions on a number of goods from Taiwan but sparing badly needed chips for Chinese factories that manufacture smartphones and other electronics over Nancy Pelosi's visit.
The measure
was announced in the aftermath of a high level visit by U.S. House Speaker
Nancy Pelosi who arrived the island Tuesday.
Does Taiwan and China have official relations?
An
unresolved civil war in 1949 split the two sides and since then there has not
been any official relation but both sides are still engaged in business, especially
processor chips produced by Taiwan’s technology companies.
China has
not ruled out using force to bring the self-governed island under Communist
Party Control, maintaining that it may have to use military force to restore
its territorial integrity if Taiwan declares unilateral independence from the mainland.
China Taiwan Trade rose 26% to $328.3 billion in 2021
What is the volume of China Taiwan Trade?
Last year
trade between the two trade partners rose 26% to $328.3 billion, The Associated
Press reports. Taiwan reportedly produces half the world’s processor chips and
has technology the mainland can’t match, saying sales to Chinese factories rose
24.4% to $104.3 billion, according to The Associated Press.
“The global
economy cannot function without chips that are made in either Taiwan or China,”
Carl B. Weinberg of High-Frequency Economics said in a report, according to The
Associated Press.
Did China ban citrus and frozen hairtail and mackerel from Taiwan?
On
Wednesday, Beijing blocked imports of citrus and frozen hairtail and mackerel
from Taiwan as punishment for Pelosi’s visit.
Others items
blocked from the island include hundreds of food items such as cookies and
seafood.
China
announced four days of military exercises billed to begin Thursday in waters
around Taiwan, a clear case of escalation and provocation.
what is the volume of Taiwan's investment in China?
The
Associated Press reported that Taiwanese companies have invested nearly $200
billion in the mainland over the past three decades, citing the island’s
government.
Taiwan
produces more than half the processor chips in the global supply.
Taiwan
Semiconductor Manufacturing Corp. makes the most advance processors for
smartphones, tablet computers, medical devices and other products.
How much chips does China imports?
China
imports more than $400 billion of chips every year, according to The Associated
Press.
China only
produces low end chips for some electronics and appliances and remains the
islands biggest trading partner, importing two times more than the United
States, The Associated Press reported.