The transatlantic alliance has begun to connect its traditional security interests in Europe with the geopolitical dynamics in the Indo-Pacific region, including tensions between China and Taiwan.

Despite China’s growing pressure, Taiwan has developed one of the world’s strongest democracies—one that will be increasingly tested in the coming years. 

In his inaugural address, Taiwan’s new president Lai Ching-te signaled broad continuity on cross-strait issues. China, however, is likely to respond with increased pressure. 

Policymakers are increasingly concerned by the U.S.’s dependence on Taiwanese semiconductors. Is onshoring their production to the U.S.—a goal of the CHIPS and Science Act—a practical path forward? 

China’s initial response to William Lai’s victory in Taiwan’s presidential election was relatively restrained but it will likely exert more pressure on Taiwan in the coming months.