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Sep 14, 2022 • Flashpoint

5 Reasons Taiwan Is a Growing Source of US-China Tension

Flashpoint analysis indicates that US-China tensions regarding Taiwan are escalating, signaling a heightened threat landscape for the Indo-Pacific region. The...

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Flashpoint Intel Blog
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Executive Summary

Flashpoint analysis indicates that US-China tensions regarding Taiwan are escalating, signaling a heightened threat landscape for the Indo-Pacific region. The report identifies five key indicators, including Chinese military exercises incorporating cyber attacks and diplomatic severances, suggesting increased aggression is likely within the next 6-12 months. This geopolitical instability poses significant risks to regional security and critical infrastructure via potential state-sponsored cyber operations. While no specific malware was identified, the attribution points to Chinese state entities. Mitigation strategies involve increased defense spending by Taiwan, US arms packages, and vigilant monitoring of cyber threats associated with nation-state actors. Enterprises operating in the region should prioritize resilience against potential disruptions linked to these geopolitical flashpoints and maintain robust incident response protocols.

Summary

At the end of last year, Flashpoint correctly forecasted that Taiwan would prove critical to US-China relations. In the same way its asserted authority over Hong Kong, recovering Taiwan, we wrote, would also continue to be a primary pillar of China’s geopolitical strategy. The post 5 Reasons Taiwan Is a Growing Source of US-China Tension appeared first on Flashpoint .

Published Analysis

Flashpoint analysis indicates that US-China tensions regarding Taiwan are escalating, signaling a heightened threat landscape for the Indo-Pacific region. The report identifies five key indicators, including Chinese military exercises incorporating cyber attacks and diplomatic severances, suggesting increased aggression is likely within the next 6-12 months. This geopolitical instability poses significant risks to regional security and critical infrastructure via potential state-sponsored cyber operations. While no specific malware was identified, the attribution points to Chinese state entities. Mitigation strategies involve increased defense spending by Taiwan, US arms packages, and vigilant monitoring of cyber threats associated with nation-state actors. Enterprises operating in the region should prioritize resilience against potential disruptions linked to these geopolitical flashpoints and maintain robust incident response protocols. At the end of last year, Flashpoint correctly forecasted that Taiwan would prove critical to US-China relations. In the same way its asserted authority over Hong Kong, recovering Taiwan, we wrote, would also continue to be a primary pillar of China’s geopolitical strategy. The post 5 Reasons Taiwan Is a Growing Source of US-China Tension appeared first on Flashpoint . Blogs Blog 5 Reasons Taiwan Is a Growing Source of US-China Tension Five key indicators that may represent current and future escalations in US-China tensions related to Taiwan. SHARE THIS: Flashpoint September 14, 2022 Table Of Contents Table of Contents Introduction 1) Xi’s Third Term and the NPC 2) China’s Show of Might in the Taiwan Strait 3) US-Taiwan Economic Partnership 4) Taiwan Ups Defense Spending 5) China Cutting Key Diplomatic Channels with US APAC Intelligence that Drives Decision-Making More subscribe to our newsletter Introduction At the end of last year, Flashpoint correctly forecasted that Taiwan would prove critical to US-China relations. In the same way its asserted authority over Hong Kong, recovering Taiwan, we wrote, would also continue to be a primary pillar of China’s geopolitical strategy. Fast forward to the present-day, as US-China tensions around the Taiwan Strait are elevated—buttressed by observed trends that may indicate that an increase in Chinese aggression around the Taiwan Strait is likely within the next 6-12 months. Here are five key indicators that may represent current and future escalations in US-China tensions related to Taiwan. 1) Xi’s Third Term and the NPC China’s National People’s Congress (NPC), scheduled for October 16, is held by the Chinese Communist Party every 5 years. It is considered to be the largest and most important time period for the CCP—this is when it typically announces political priorities as well as senior leadership appointments. This year’s NPC will be the 20th conference since the Party’s founding in 1921; without a planned successor, President Xi will take a third term—a first in CCP history since term limits were officially abolished by President Xi himself. President Xi has remained vocal about his desire to complete reunification with Taiwan, which was most recently outlined in China’s most recent whitepaper, “The Taiwan Question and China’s Reunification in the New Era.” Notably, this is the first whitepaper that omits China’s desire to reunify with Taiwan peacefully, suggesting that an attempt to forcefully reunify is possible. 2) China’s Show of Might in the Taiwan Strait Directly following the Speaker Pelosi’s August trip to Taipei, China’s military, the PLA, scheduled a series of live-fire drills around Taiwan, the most impactful particularly occurring from August 4-7 that included short, unprecedented incursions into the “median line” dividing Taiwan from China. China’s air and sea exercises included several frigates, fighter jets, drones, and cyber attacks, and from the Chinese perspective, demonstrated China’s ability to encircle Taiwan swiftly and effectively on the world stage. The 22 ballistic missiles fired around Taiwan—five of which landed in Japan’s Exclusive Economic Zone (EEZ)—were the first launched near Taiwan since 1996. Additional military exercises around Taiwan occured on August 15, coinciding with the visit of five senior lawmakers from the US Congress. 3) US-Taiwan Economic Partnership On August 17, the US government announced its intention to begin formal trade negotiations with Taiwan to support US trade facilitation, including its support of state-owned small to medium enterprises in Taiwan. Though the US has maintained that its policy towards Taiwan remains unchanged, the Biden administration has unveiled new initiatives like these to suggest a deepening of the US-Taiwan partnership due to mutually perceived threats to democracy in the Indo-Pacific region. On August 30, the Biden administration introduced another lever to its cooperation with Taiwan, announcing a planned $1B arms package with the island...

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