ASSESSMENTS

The Evolving Taiwan-China Relationship, Part 1: The Economy

MIN READJun 17, 2021 | 15:30 GMT

A man walks past a monitor outside the Taiwan Stock Exchange in Taipei on May 12, 2021.

(SAM YEH/AFP via Getty Images)

Amid shifting political winds in Taiwan and elevated cross-strait tensions, China will continue to weaponize its economic heft against the island’s industries to secure its influence over Taipei -- leaving Taiwan on the defense and largely unable to reduce its trade reliance on Beijing over the next five years. This will prompt Taipei to focus on international governance fora and regional military cooperation, as well as diplomatic relations with the United States, Japan and other regional partners as a means of deterring Chinese economic pressure. ...

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