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Foreign Policy
Foreign Policy
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Bonnie Glaser, Jeremy Mark, Hilton Yip, Hilton Yip

Taiwan and China Are Locked in Economic Co-Dependence

A factory of Taiwanese semiconductor manufacturer TSMC at Central Taiwan Science Park in Taichung on March 25. Sam Yeh/AFP via Getty Images

Beijing grabbed headlines in March when it banned imports of Taiwanese pineapples, alleging a pest infestation. The action fit a pattern of China’s weaponization of trade for political purposes elsewhere in the world through informal actions, rather than explicit trade barriers.

The ban ultimately proved fruitless as the 40,000 tons of pineapples originally destined for mainland Chinese tables were snapped up by other buyers. But the incident was a reminder of how deep the trade and investment ties are between Taiwan and China—and how, for the most part, they’ve remained surprisingly insulated from increasingly fraught cross-strait politics.

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