Taiwan threatens chip export restrictions over South Africa diplomatic downgrade
Image: (Photo by AFP)
Taiwan's Ministry of Foreign Affairs is considering restricting semiconductor exports to South Africa.
This comes after the announcement by the Department of International Relations and Cooperation, which reclassified Taiwan's mission from a full representative office to that of an international organisation.
"To safeguard national sovereignty and dignity, we are discussing countermeasures with relevant government agencies, including restricting chip exports to South Africa," Philippe Yen (顏嘉良), director-general for MOFA's Department of West Asian and African Affairs, said, according to Focus Taiwan .
This comes amid South Africa's scramble to secure a trade deal with the United States government, as it seeks to avoid a looming 30% tariff set to take effect on August 7 2025.
Chips, or semiconductors, are tiny electronic components that act as the brains of most modern electronic devices. They are essential for everything from smartphones, computers, and cars to advanced industrial machinery and telecommunications.
The Taiwan government has urged South Africa to reconsider what it called a 'crude' decision and to begin negotiations to resolve the issue.
The Democratic Alliance has also criticised the government's handling of Taiwan relations, warning that the country now faces a 'second blow' to its economy, following the looming US tariffs.
"Future economic growth requires access to semiconductor chips. It is therefore critical that the steps are taken to negotiate with the Taiwanese government to secure this critical technology for which there is no substitute". DA Spokesperson for International Relations and Cooperation (DIRCO) Ryan Smith MP said.
"Taiwanese semiconductor chips are crucial components in the production of any modern electronic device. South Africa's automotive industry alone is dependent on these chips to account for approximately R300 billion in annual automotive exports around the world, creating tens of thousands of local jobs".
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