China Bans more than Three Thousand Taiwanese Foods

It is reported on Aug. 3rd, in retaliation for the House Speaker Nancy Pelosi’s visit to Taiwan, the Chinese Communist Party (CCP) suddenly ordered to halt imports of more than 3,000 Taiwanese foods. This includes cookies, fruits, fish and meat etc., however, the CCP has not banned the import of Taiwan-made electronic chips and industrial components.

 It was also reported, the CCP highly desponds chips produced by other countries. Its import volume exceeds $400 billion each year as chips are the CCP’s largest imported commodity. China has invested billions of dollars in research & development of chips in order to reduce its dependence on other countries, but can only provide low-end chips for automobiles, and electrical appliances. They are unable to support smartphones, tablet computers, medical equipment and other high-end products. By contrast, Taiwan produces half of the world’s chips and has the unparalleled technology compared to the CCP in the mass production of chips for high-end products.

 According to Taiwan Ministry of Finance’s statistics, last year Taiwan electronic components exports to China reached $104.319 billion. Account for 55.2% of total exports to China, it surged to 61.5% in the first half of this year. But Taiwanese foods exports to China is just $1.2 billion, far less than that of electronic components.