China eyes up Taiwan’s microchip factories amid invasion fears - ‘more valuable than oil'.
CHINA is eyeing up Taiwan's microchip industry amid a critical world shortage.
Taiwan is the largest global producer of microchips which power cars, phones and computers. China consumes more than half of the global supply of microchips but experts fear that the country could use military force to claim Taiwan’s supply and production one day.
Speaking to Fox News, Martijn Rasser, a senior fellow at the Washington-based think tank Center for a New American Security said microchips will be crucial for developing technology going forward.
“They would have access to the most advanced manufacturing capabilities and that is even more valuable than controlling the world's oil.”
The comments come as Taiwan prepares for an ever more likely invasion from China.
Taiwan’s Foreign Minister, Joseph Wu, issued a grave warning that China “seems to be preparing for their final military assault against Taiwan.”
In a statement he said: “We are trying to make more investment in our military, especially the asymmetric type of warfare to deter the Chinese from thinking about using military force against Taiwan.”
Warplanes from the People’s Liberation Army have been conducting nearly daily incursions into Taiwan’s Air Defence Identification Zone.
The global microchip shortage is expected to drive up the price of electronic devices in the upcoming year.
Last week, Jaguar Land Rover was forced to halt car production and Ford Motor Company is expected to produce 1.1 million fewer vehicles.