China-Taiwan Tensions: Preparing for a Global Tech Recession?

Posted on July 08, 2025 by

Tensions between China and Taiwan aren't just geopolitical—they're technological. If a war breaks out, it could stall global innovation and cripple the electronics market.

 

Taiwan: The Chip Powerhouse
Taiwan produces over 60% of the world’s semiconductors. A Chinese invasion or blockade could halt supply chains that feed Apple, Intel, and automotive firms.

 

Stock Markets Brace for Impact
Nasdaq and other indexes saw dips merely from rumors of aggression. Markets react faster than bombs drop.

 

Defense Budgets Over Innovation
Tech nations like South Korea and Japan are now reallocating budgets from R&D to defense, which could slow innovation and economic growth.

 

Conclusion
War between China and Taiwan would paralyze tech and digital transformation efforts globally—not just in Asia.

 

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