Special report | The economy

It is time to divert Taiwan’s trade and investment from China

Taiwan’s economy is strong, but it needs to reduce its dependence on China

Motorists commute past shipping containers at the port in Keelung on September 17, 2022. (Photo by I-HWA CHENG / AFP) (Photo by I-HWA CHENG/AFP via Getty Images)

Taiwan has long depended on America for defence and China for growth. That worked when the two superpowers broadly co-operated. Taiwan flourished in an age of globalisation, building both a strong economy and its own security on hopes that free trade would prevent conflict. But in the process it became dependent on trade with its greatest threat. Now China is using its economic clout to isolate Taiwan.

This article appeared in the Special report section of the print edition under the headline “Enemy at the gates”

The struggle for Taiwan

From the March 11th 2023 edition

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