Chipmaking giant TSMC ‘non-operable’ if China invades Taiwan – Taiwan News

TAIPEI (Taiwan News) — Taiwan Semiconductor Manufacturing Company (TSMC) Chairman Mark Liu (劉德音) has warned that the economies on both sides of the Taiwan Strait will plunge into turmoil should China invade Taiwan.

CNN on Monday (Aug. 1) published footage of a video interview with Liu, titled “Can China afford to attack Taiwan?” in which Liu noted chipmaking will no longer be “the most important thing we should be worried about” if Beijing were to attack Taiwan.

Still,“Nobody can control TSMC by force,” Liu said, when asked about the company’s perceived reputation as a “shield” given its significance. TSMC factories will be rendered “non-operable” in the event of a Chinese attack because the sophisticated manufacturing facilities depend on real-time connections with the outside world, with Europe, U.S., and Japan, he reckoned.

The chairman of the world’s largest contract chipmaker also urged Beijing to think twice before taking any action as China accounts for 10% of TSMC’s business. Describing its consumer pool as important and vibrant, Liu said “They need us, and it’s not a bad thing.” This means any interruption of the supply chains will cause economic turmoil on either side, he stressed.

The lessons from the Russian invasion of Ukraine should be drawn upon, he said, adding the war has created a “lose-lose-lose” scenario for the Western world, Russia, and Ukraine. He implored all parties to think of ways to avoid war so that the “engine of the world economy can continue humming.”

The interview comes at a time of heightened cross-strait tensions, partly due to a potential visit by U.S. House Speaker Nancy Pelosi that has riled Beijing.

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Chipmaking giant TSMC ‘non-operable’ if China invades Taiwan – Taiwan News

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