Musk's demand for Taiwan relocation sparks political uproar
Elon Musk's company, SpaceX, has asked its suppliers in Taiwan to move their operations to another country. One of the world's richest people is reportedly concerned about the geopolitical situation surrounding the island. Chinese leader Xi Jinping wishes to "unify" Taiwan with China.
According to Reuters, SpaceX has asked some Taiwanese companies to relocate their headquarters to Vietnam or Thailand. The British Guardian notes that 46 entities operate in Taiwan, producing components and equipment for the satellite industry, about 10 directly supplying SpaceX.
Chin-Poon Industrial, which collaborates with Musk's space enterprise, confirmed that SpaceX contacted them. Two other entities—Wistron NeWeb Corporation (WNC) and Universal Microwave Technology—have already expanded their operations to Vietnam.
The Guardian reports that in 2022, Elon Musk mentioned in an interview with the Financial Times that a conflict over Taiwan is "inevitable." Also, two years ago, Musk stated that Taiwan is an integral part of China. These remarks carry even more weight after Donald Trump's victory, as the billionaire is expected to play a role in the new White House administration. Trump himself said during election night that Musk is a "star" of the MAGA—Make America Great Again—movement.
Taiwan responds to musk
The billionaire's actions did not sit well with Taiwanese politicians. Economy Minister JW Kuo noted that the industry "is doing well, is strong and should manage." He added that the government is monitoring the situation related to the potential relocation of the supply chain outside of Taiwan.
Kuo emphasized that supply chain relationships between international satellite companies and Taiwanese manufacturers should remain unaffected by short-term political influences.
Wistron NeWeb Corporation told the Guardian that while operating in Taiwan, one should consider geopolitical risks, but the most important factor is the needs of customers. Musk's actions have angered some citizens who are calling for a boycott of Tesla. In the past two years, Tesla has ranked among the top ten best-selling cars in Taiwan.
Chinese leader Xi Jinping has been advocating for years for "unifying" Taiwan, and Donald Trump has announced that if China makes a move on Taiwan, the USA will impose tariffs of 150-200% on Chinese exports. Regardless of whether there would be an attack on Taiwan, Trump also promised that Chinese goods imported into America would be subject to a 60% tariff.
