- Taiwan’s national security chief has labeled the Chinese tax probe into Foxconn as “political” due to its founder Terry Gou’s presidential bid. The probe is seen as an attempt to dissuade Gou from running for president of the democratically ruled island.
- Gou, who stepped down from Foxconn’s management four years ago, launched his presidential bid in August as an independent candidate in Taiwan’s upcoming January polls. Analysts have speculated that his entry into the race could split the opposition vote, prompting a response from Chinese authorities.
- Amid speculation of a political motive behind the probe, Taiwan’s National Security Council head mentioned that Foxconn has been looking to diversify its supply chain lines away from China. This move could also be a factor prompting the investigation from Chinese authorities, who are wary of the potential harm to China if major US brands shift their assembly lines out of the country.
The security chief of Taiwan has labeled China’s recent probe into Foxconn, a major Taiwanese electronics manufacturer, as “political” amid the founder’s bid for the presidency.
The probe, initiated by China’s State Administration for Market Regulation, is said to be related to “anti-monopoly” concerns within the tech industry. However, Taiwan’s security chief has dismissed these claims and instead accused China of using the investigation as a means of political manipulation.
Foxconn’s founder, Terry Gou, has recently announced his candidacy for the 2024 presidential election in Taiwan. This move has sparked concern and suspicion within the Taiwanese government, with many speculating that China’s investigation into Foxconn is a way to undermine Gou’s political aspirations.
In response to the probe, Taiwan has reiterated its commitment to protecting its businesses and citizens from external political interference. The government has also emphasized the importance of fair and transparent market regulations, independent of any political motivations.
This latest development has further strained the already tense relations between Taiwan and China, with the two countries locked in a long-standing political and economic dispute. As tensions continue to escalate, the Taiwanese government remains vigilant in safeguarding its sovereignty and interests against external pressures.