Taiwan says it worked with US to bust high-end chip smuggling

Taiwan said it worked with the US to break up an attempt to smuggle high-end chips, highlighting expanding maritime cooperation as China steps up pressure in the region.

Taiwan’s Coast Guard Administration said Tuesday that the joint operation prevented advanced semiconductors from becoming “tools for military authoritarian expansion.”

It provided no further details about the case, including what chips were involved, where they were headed or when the operation occurred.

The self-ruled democracy has intensified efforts to combat the diversion of advanced AI chips to China, investigating traders and technology company employees suspected of evading US export controls including by using false documents and third-country routes.

The statement followed a rare public display of cooperation by the American Institute in Taiwan.

Just hours ago, the de facto US embassy posted a photo of US and Taiwanese coast guard vessels sailing together on Facebook, highlighting American partnership with Taiwan in maritime security and safety.

The AIT said the two coast guards coordinate on shared maritime objectives including search and rescue, disaster relief, combating illegal fishing and intercepting illicit drug shipments at sea. It didn’t identify the location or timing of the operation shown.

Taiwan’s coast guard said the image underscored Washington’s recognition that it is the sole law-enforcement agency operating in Taiwanese waters and therefore the US Coast Guard’s only local counterpart.

The two sides are developing a broader partnership spanning joint search and rescue, anti-smuggling operations, marine environmental protection and professional training, it said.

The post comes days after clashes between China and the Philippines near the disputed Scarborough Shoal.

It also follows what appears to be a normalization of Chinese Coast Guard patrols in waters east of Taiwan, following an agreement between Japan and the Philippines to begin maritime boundary talks covering parts of the area.

Security cooperation between the US and Taiwan remains highly sensitive because of Beijing’s objections.

The US and Taiwan signed a memorandum of understanding on coast guard cooperation in 2021 and have since held working-group meetings under the framework. (Bloomberg)

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