'Pay us': Transactional Trump sows Taiwan trouble

For Donald Trump, US defense guarantees come with a price.

The Republican ex-president cast doubt this week on whether the United States, under a second Trump term, would defend Taiwan from a Chinese invasion, saying the self-ruled island -- like Ukraine and NATO allies -- needs to pay up.

The United States has long maintained a so-called "strategic ambiguity" on defending Taiwan, though Democratic President Joe Biden has made it clear he would intervene if necessary.

Beijing has said it will never renounce the use of force to bring Taiwan under its control, while ramping up rhetoric about an "inevitable" unification.

When asked about defending Taiwan if he wins in November, Trump did not answer directly, but rather placed the issue within his "transactional" approach to foreign policy.

"I know the people very well, respect them greatly. They did take about 100 percent of our chip business. I think, Taiwan should pay us for defense," he said in a Bloomberg Businessweek interview.

"You know, we're no different than an insurance company. Taiwan doesn't give us anything."

Taiwan is a major powerhouse in the crucial semiconductor industry, producing the majority of the advanced microchips needed to power the global economy.

Biden's State Department pushed back Wednesday against Trump's assertions, saying "Taiwan has been paying for its own defense."

"Taiwan has been purchasing military equipment from the United States to the tune of billions of dollars and the military equipment they have purchased supports American manufacturing, supports American industry, supports American technology," State Department spokesman Matthew Miller told reporters.

Taiwanese Prime Minister Cho Jung-tai nonetheless said Wednesday that Taipei was still "willing to take on more responsibility."

- 'Transactional approach' -

"Many of the individuals who advised the former president during his administration and are likely advising his re-election campaign believe that America's foremost geopolitical objective is to deter a Chinese invasion of Taiwan," said Ali Wyne with the International Crisis Group think tank.

"Still, Donald Trump's recent comments underscore his transactional approach to foreign policy and will likely cause disquiet in Taipei, which is increasingly concerned about the balance of military power across the Taiwan Strait and the intensification of strategic competition between Washington and Beijing."

The expert added that given his trade-centric view of US-China relations, "it is likely that a second Trump administration would implement de-risking much more aggressively and thoroughly."

The Republican candidate has consistently castigated US allies for not paying a "fair" share for defense.

Earlier this year, he caused an uproar by saying he would encourage Russia to do "whatever the hell they want" to a NATO country if it did not meet financial commitments to the alliance.

The comment essentially cast doubt on Washington's commitment to the NATO alliance's bedrock Article 5, which states that an attack on one member is an attack on all.

Taiwan is not mentioned in the Republican Party's 2024 platform, adopted this week at its convention in Milwaukee, with only a brief vow of "countering China."

Although Washington switched formal recognition from Taipei to Beijing in 1979, the United States remains the island's most powerful ally and main arms supplier.

A 1979 law mandates US weapon sales to Taiwan to dissuade China from launching a takeover bid.

In a major policy shift, Washington has recently allowed direct military aid to Taiwan instead of just arm sales to the island.

Congress in late April passed a much-delayed bill allocating $8 billion to counter China, including investments in submarines and aid to Taiwan.