U.S. East Asian Envoy Says Investors Overprice Taiwan Risk, Calls Xi Rational
Michael DeSombre, U.S. assistant secretary of state for East Asian and Pacific affairs, stated that investors are overestimating the risk of conflict across the Taiwan Strait. Speaking at the Milken Institute Asia Summit in Singapore, he emphasized that both China and the United States aim to avoid conflict and have mechanisms in place to deter it. DeSombre described Chinese President Xi Jinping as a 'very rational actor' who would not pursue unification with Taiwan without considering significant consequences. He also highlighted the importance of maintaining credible deterrence through alliances and partnerships, noting that Beijing has increased its military presence near Taiwan but no public agreement on Taiwan was reached during recent U.S.-China summits. The comments come amid heightened tensions as China continues to assert claims over Taiwan while Washington supports Taipei with arms sales. TSMC's growing investments in the U.S., including a major facility in Phoenix, underscore the strategic and economic significance of semiconductor manufacturing.
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Topics: diplomacy military presence Taiwan U.S. foreign policy