Three key reasons why America cannot afford to lose Taiwan to Communist China

Opinion

Three key reasons why America cannot afford to lose Taiwan to Communist China

Trump's China visit revives Taiwan speculation, but the island's geographic and diplomatic value dwarfs chip output

By Chuck DeVore Fox News

Published May 24, 2026 8:00am EDT

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Taiwan warns US about China’s regional ambitions as Trump weighs arms deal

FOX Business correspondent Lydia Hu joins ‘Fox & Friends’ to discuss President Donald Trump’s potential multibillion-dollar arms deal for Taiwan, as U.S. representative Alexander Yui explains why the island is key to countering China’s ambitions.

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With President Donald Trump’s state visit to China, speculation about the status of Taiwan, the self-governing nation that the Chinese Communist Party (CCP) claims as its own, ran rampant.

Many analysts emphasized Taiwan’s production of the advanced semiconductors that power the world’s smartphones, AI systems and precision-guided munitions. It’s true that semiconductor maker TSMC’s fabs dominate cutting-edge chip manufacturing, making the island indispensable to the global economy and America’s military edge. A Chinese takeover would hand Beijing a stranglehold on supply chains worth trillions and cripple U.S. technological superiority.

Yet Taiwan’s true importance runs far deeper than silicon wafers. Beyond its economic and military value, three critical factors........

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