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Taiwan's Isolation Amid Global Economic Rivalry

Taiwan's Isolation Amid Global Economic Rivalry

Recently, Xi Jinping visited Southeast Asian nations including Vietnam, Cambodia, and Malaysia, clearly demonstrating his intent to consolidate influence in East Asia. Meanwhile, the United States is gradually initiating tariff negotiations with various economies, aiming to rally trade partners against China. Conversely, China has urged its trading partners not to undermine its interests, threatening countermeasures if they do. Major economies around the world are caught between these two powers, seeking collaborations to mitigate the impacts of the trade war.

While countries are busy finding new allies, Taiwan's Lai government seems to rely solely on the U.S., with slogans like “decoupling from China and joining the North” proving to be hollow. The responses from China, the EU, and Japan following the U.S. announcement of reciprocal tariffs have revealed market unease. As other economies actively seek favorable conditions, Taiwan remains marginalized for not joining China-led frameworks like the Regional Comprehensive Economic Partnership (RCEP) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

As global economic dynamics shift, Taiwan is increasingly at risk of isolation, with limited connections to major economies, raising considerable concern.