Taiwan and Montesquieu
American officials are increasingly opposed to trade with China, especially in areas such as tech. The Taiwanese seem to have a different view of what best serves their interests. Here’s Bloomberg:
Several Taiwanese technology companies are helping Huawei Technologies Co. build infrastructure for an under-the-radar network of chip plants across southern China . . .
They included a unit of Taiwanese chip material reseller Topco Scientific Co. and a subsidiary of Taipei-based L&K Engineering Co., according to a Bloomberg News investigation. Across town at another Huawei-affiliated site, Bloomberg identified workers from a subsidiary of construction specialist United Integrated Services Co.
Meanwhile, Taiwan’s Cica-Huntek Chemical Technology Taiwan Co. said on its website that it had won contracts to build chemical supply systems for two Chinese chipmakers — Shenzhen Pensun Technology Co. and Pengxinwei IC Manufacturing Co., which was blacklisted by the US last year. Both companies have been identified as working with Huawei to build chip fabrication facilities.
I am reminded of this remark by Montesquieu:
Peace is the natural effect of trade. Two nations who traffic with each other become reciprocally dependent…their union is founded on their mutual necessities.
Trade doesn’t guarantee peace—it just makes it more likely.