Taiwan is among the 10 top U.S. trade partners and sits at the center of global supply chains and along one of the world’s busiest shipping lanes. The "Silicon Island" also commands more than 60 percent of global semiconductor foundry capacity and produces over 90 percent of the world’s most advanced chips, fueling emerging tech, from artificial intelligence to electric vehicles.
China claims Taiwan as its territory and says unification is inevitable, by force if necessary. The Chinese military has ramped up pressure on the island in recent years through air and naval exercises. A war in the Taiwan Strait would trigger economic and humanitarian disaster—and potentially draw the U.S. into a conflict with its nuclear-armed strategic rival.