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Taiwan Strait conflict would be disastrous, de facto US envoy says

Created at 9 Sep · 2:10 AM1 source↑ Market-relevant
IN SHORT

A conflict across the Taiwan Strait would have a greater global economic impact than World War Two, according to Raymond Greene, the de facto U.S. ambassador to Taiwan. He emphasized the upcoming U.S.-China summit as a crucial opportunity to prevent miscalculations.

Key Numbers

T$1 trillionTaiwan's budgeted defense spending for next year

Who's Involved

Raymond Greene
Director of the American Institute in Taiwan, top U.S. diplomat in Taipei
Donald Trump
President of the United States
Xi Jinping
Chinese President
Lai Ching-te
Taiwan President
Taiwan Strait conflict would be disastrous, de facto US envoy says

↳ Why This Matters

The remarks underscore the significant global economic risks associated with potential conflict in the Taiwan Strait, highlighting the importance of diplomatic efforts to maintain regional stability and prevent escalation.

Key facts

  • A conflict across the Taiwan Strait would have a greater global economic impact than World War Two, according to Raymond Greene.
  • Greene emphasized the upcoming U.S.-China summit as an opportunity to avoid misunderstandings and miscalculations.
  • The U.S. is reinforcing its presence and partnerships in the Indo-Pacific.
  • The U.S. is supporting Taiwan's efforts to enhance its self-defense capabilities.
  • Taiwan's government plans to exceed T$1 trillion in defense spending for the first time next year.

Raymond Greene, the top U.S. diplomat in Taipei, stated that any conflict across the Taiwan Strait would have a more significant impact on the global economy than World War Two. He spoke at a defense forum in Taipei, emphasizing the importance of securing peace in the region.

Greene highlighted that the upcoming U.S.-China summit presents an opportunity to advance strategic stability and avoid misunderstandings and miscalculations. He noted that the U.S. under the Trump administration prioritizes peace in the Indo-Pacific through diplomacy and reinforcing regional partnerships. Additionally, the U.S. is supporting Taiwan's efforts to bolster its self-defense capabilities.

Taiwan's government, led by President Lai Ching-te, has made increased defense spending and military modernization key priorities in response to threats from China. The government has budgeted defense spending to exceed T$1 trillion for the first time in the upcoming year.

Frequently asked questions

Raymond Greene is the director of the American Institute in Taiwan, serving as the top U.S. diplomat in Taipei.

The U.S. does not have formal diplomatic relations with Taiwan but is its most important international backer and arms supplier, prioritizing peace in the Indo-Pacific.

Taiwan's government plans to exceed T$1 trillion in defense spending for the first time next year, prioritizing military modernization.

What Happens Next

01Chinese President Xi Jinping is expected to travel to the United States for a meeting with President Donald Trump later this month.

How It Developed

Raymond Greene stated that a Taiwan Strait conflict would have a greater global economic impact than World War Two.
Greene highlighted the upcoming U.S.-China summit as an opportunity to avoid miscalculations.
He noted the U.S. priority of preserving peace in the Indo-Pacific.
Greene mentioned reinforcing partnerships and supporting Taiwan's self-defense capabilities.
Taiwan's government has prioritized defense spending and military modernization.

Sources

T1
Conflict over Taiwan would be disastrous, de facto US ambassador saysReuters

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