Taiwan war would hit Japan, Philippines, South Korea hardest due to ‘devastation’ of supply chains, EIU says
- The Economist Intelligence Unit evaluated risks in the case of a conflict with the mainland Chinese military and participation by the US in its white paper
- Japan, the Philippines and South Korea would be the most impacted, while it would create ‘severe vulnerability’ for Australia and Hong Kong, plus parts of Southeast Asia
Japan, the Philippines and South Korea would be the most impacted by any conflict in Taiwan due to “devastation” of regional supply chains, the Economist Intelligence Unit (EIU) said in a white paper on Wednesday.
A conflict in Taiwan would also create “severe vulnerability” for Australia and Hong Kong, plus parts of Southeast Asia, according to the EIU, which is a research division under the Economist Group media organisation.
“The devastation of regional information and communications technology production and supply-chain networks would cause disproportionate shocks for Northeast and Southeast Asia,” the white paper said.
The EIU evaluated risks in the case of a conflict over Taiwan with the mainland Chinese military and participation by the United States.
Beijing sees self-ruled Taiwan as a breakaway territory that must be reunified, by force if necessary. Cross-strait relations have worsened in recent years, and the Taiwan issue has been the flash point in the deteriorating relations between China and the US.