TAIPEI — Beijing's strategy of leveraging trade to bully democratic governments is quickly losing its edge, according to Taiwanese researchers and officials speaking with the Toronto Sun.
China's warnings seen as desperation
While China perceives its eyebrow-raising warning that Canadian politicians should not visit Taiwan as a show of strength, a top official with Taiwan's foreign ministry said such displays are instead increasingly seen as acts of desperation.
"It's both, definitely," Deputy Foreign Minister Chen Ming-chi said during an interview Thursday at Taiwan's Ministry of Foreign Affairs. "China might think they've gained an upper hand … they have used everything possible to isolate Taiwan."
Chong's visit deemed 'very important'
On Wednesday, Conservative MP Michael Chong met with Taiwanese President Lai Ching-te in Taipei — a visit Chong told the Sun was in direct response to Chinese Ambassador Wang Di's warning last month that Canadian parliamentarians should not travel to Taiwan. Chen described Chong's visit as very important and very significant.
Beijing, however, expressed outrage at the visit, accusing Chong of crossing a diplomatic "red line" while maintaining that issues surrounding Taiwan are internal matters. As part of its "One China" policy, Beijing sees democratic and free Taiwan to be an immutable part of China.
De-risking undermines China's leverage
During a press briefing Thursday at the Chung-Hua Institution for Economic Research (CIER) — a Taipei-based economic think-tank and governmental advisory agency — CIER president Lien Hsein-Ming said "middle powers" such as Canada need to erect economic shields to hedge against trade coercion.
"(China was) never shy to use this economic power as a carrot or as a stick to achieve their political agenda," he said. "But the effectiveness is coming down because of this growing de-risking mindset … as the carrots become bigger, so do the sticks."
As concerns grow about using Chinese-sourced materials in critical sectors such as defence and communications, many democratic nations, including Taiwan, are pivoting to "non-Red" supply chains in an effort to reduce reliance on mainland China. Lien said this trend of "de-risking" has the consequence of eroding China's ability to use trade as a cudgel to shape international policy as they see fit.
"That actually undermines the effectiveness of China using the economy as a carrot, as well as a stick, to put pressures on other countries," he said. "Most counties are coming to a more balanced understanding about this."
