Taiwan has imposed restrictions on the export of chips to South Africa over national security concerns, taking the unusual step of using its dominance of chip markets to pressure a country that is closely allied with China.
Taiwan requires preapproval for the bulk of chips sold to the African nation, the International Trade Administration said in a statement.
The decision emerged after Pretoria tried to downgrade Taipei’s representative office and force its move to Johannesburg from Pretoria, the Ministry of Foreign Affairs has said.
Tongo, EPA
The move reflects Taiwan’s economic clout and a growing frustration with getting sidelined by Beijing in the diplomatic community.
Taiwan Semiconductor Manufacturing Co (台積電) makes the majority of the world’s most sophisticated chips, essential to vehicles, artificial intelligence and industrial production.
Official data from Taiwan show that last year the country exported to South Africa roughly US$4 million worth of the semiconductor-related goods that were included in the export suspension list.
South Africa started asking Taiwan to relocate its de facto embassy to Johannesburg from the administrative capital of Pretoria in 2023 after it hosted a BRICS summit that Chinese President Xi Jinping (習近平) attended, a ministry official in Taipei previously told Bloomberg News.
South Africa is now ramping up that request as the country prepares to host the G20 leaders’ meeting in November that Xi is also expected to attend.
Pretoria severed diplomatic ties with Taiwan in 1997.
“The South African government’s actions have undermined our national and public security,” the International Trade Administration said in a statement. “We are adopting measures to restrict trade to maintain our sovereignty.”
The Ministry of Economic Affairs yesterday said it is amending regulations covering exports from free trade ports so that 47 designated products, including chips, bound for South Africa must first obtain ministry approval.
Additional reporting by CNA
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