Taiwan president says keeping political status quo is key to securing supply chains

TAIPEI, June 2 (Reuters) – Taiwan President Lai Ching-te said on Tuesday that maintaining the political status quo is ​the most responsible thing the island can do to secure global ‌supply chains as it hosts some of the world’s leading technology leaders for Computex.

Taiwan plays a pivotal role in the global artificial intelligence supply chain for companies ​including Nvidia (NVDA.O), opens new tab and Apple (AAPL.O), opens new tab, and its position is anchored by the ​world’s largest contract chipmaker, TSMC (2330.TW), opens new tab.

“As the world’s need for AI ⁠grows, so too does its need for a Taiwan that is stable, ​trustworthy, and capable of shouldering responsibility,” Lai said at the opening ceremony ​of Computex in Taipei, where leaders of some of the largest global technology companies are gathering.

“The government will firmly safeguard peace and stability across the Taiwan Strait and is ​committed to maintaining the status quo,” he said, adding that this ​was Taiwan’s most responsible pledge to the global supply chain.

China views democratically governed Taiwan as ‌its ⁠own territory, and operates its warships and warplanes around the island on an almost daily basis. Taiwan’s government rejects Beijing’s sovereignty claims.

Also speaking at Computex, Nvidia CEO Jensen Huang told reporters that every company’s supply chain ​should be diversified so ​they can ⁠be resilient and that Taiwan is a good strategic partner for the U.S.

“Taiwan is incredible at manufacturing, especially technology ​manufacturing. This is the epicenter of the ecosystem,” Huang ​said.

He was ⁠speaking after the $5 trillion chip company announced plans last week to invest around $150 billion a year in Taiwan, describing it as the epicentre of the AI ⁠revolution.

Huang ​plans to employ up to 4,000 workers in ​Nvidia’s new headquarters in Taiwan, which is expected to be operational in 2030, up from ​1,000 currently.