Safeguarding the Global Chip Supply: Lessons from PRC’s Technology Acquisition Tactics in Taiwan
Niklas Swanström and Viktor Šimov
Taiwan’s technological advantage, especially in the semiconductor sector, serves as a key factor for deterring a Chinese invasion. However, there are documented cases of the PRC using multiple strategies to acquire Taiwanese technologies to reduce its reliance on Taiwan, and international supply chains, before possible military action. This issue brief will aim to outline these strategies, which include industrial espionage, talent poaching, and the use of shell companies, investment channels and joint ventures for technological appropriation or further cross-strait integration. Amid intensifying Chinese efforts to appropriate Taiwanese technology, the EU and other Western allies must draw strategic lessons from Taiwan to protect their own supply chains and thereby increase their economic security.
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