A senior U.S. diplomat in Taiwan has issued a stark warning about the consequences of a potential conflict across the Taiwan Strait. Raymond Greene, director of the American Institute in Taiwan, said on September 9 that a war over Taiwan could have a greater impact on the global economy than World War II.
Speaking at a defense forum in Taipei, Greene stressed the importance of maintaining peace and avoiding miscalculations between the United States and China. He pointed to an upcoming U.S.โChina summit as an opportunity for the two countries to improve strategic stability and reduce tensions.
Taiwan is strengthening its defenses in response to growing concerns over China’s military pressure. President Lai Ching-te’s government has budgeted more than T$1 trillion for defense spending next year, marking the first time Taiwan’s defense budget has crossed that threshold.
China continues to claim Taiwan as part of its territory and has not ruled out the use of force. Chinese officials reiterated on Wednesday that reunification remains a long-term national objective. Taiwan, meanwhile, says its people should have the right to determine their own future.
The tensions have broader global significance because Taiwan is a major semiconductor manufacturing hub and a critical part of global technology supply chains. Recent developments have also seen Taiwan deepen its economic and technology ties with the United States and other partners.
News as Reported.
