It is undisputed that China seizing Taiwan would literally lead to a true worldwide conflict and this is now fully recognized in the financial market. If one thinks the auto chip shortage is bad, one can only imagine if the entire Taiwanese economy is taken out of the picture for even a short time, let alone an extended period. This literally has the power to totally disrupt the entire world economy and bring the entire world economy to the precipice of destruction. This is the highest stakes game since World War II and no industry will be immune. Semis have proven they a key to the world economy and Taiwan, notably TSM and its surrounding support structure is literally a keystone to the world's economy. All modern countries are involved in this and this is now literally the largest stakes in modern history. Without wisdom and cool heads, the whole world could take a giant leap backward literally in a matter of days. Now is the time for world leaders to confront this challenge that has already gone too far. Barron's the world's top financial journal has fully recognized this threat and put forth the damage that this conflict could cause. Semis are the foundation of the world economy and now facing a threat so serious, it must be dealt with worldwide. Now with cryptocurrency's relationship to China and the world economy, even currencies are in danger.
The increasingly frosty relations between the U.S. and China over Taiwan creates potential risks for investors because of Taiwan's importance to the semiconductor industry.