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President Lai and Japan’s LDP Youth Division Deepen Ties on Semiconductors and Security Amid Regional Tensions

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In a symbolic and strategically important move, Taiwan President Lai Ching-te met with a high-profile delegation from Japan’s ruling Liberal Democratic Party (LDP) Youth Division on May 1, 2025. The meeting, held at the Presidential Office in Taipei, reflects a strengthening of diplomatic and industrial ties between Taiwan and Japan, particularly in the critical areas of semiconductor collaboration and regional security cooperation.

Led by Director Yasutaka Nakasone—a prominent member of Japan’s House of Representatives and the grandson of former Prime Minister Yasuhiro Nakasone—the delegation emphasized Japan’s commitment to fostering a peaceful Indo-Pacific and reaffirmed its support for Taiwan amid rising cross-strait tensions and global geopolitical shifts.

President Lai stressed that peace and stability in the Taiwan Strait were not merely regional concerns but global imperatives, given Taiwan’s pivotal role in semiconductor supply chains and maritime commerce. He called for greater exchanges in economic security, technology, and defense dialogues to fortify bilateral trust and resilience.

“Taiwan’s strength in advanced chip manufacturing and Japan’s excellence in semiconductor materials and tools make us natural partners,” said President Lai.

Indeed, Taiwan Semiconductor Manufacturing Co. (TSMC)’s investment in Japan has become a cornerstone of this industrial cooperation. Its Kumamoto fab, launched in December 2024, began mass production ahead of schedule, supplying 28nm and 22nm chips primarily for automotive and industrial applications. A second fab is already under construction, scheduled for completion by 2027, and expected to offer more advanced nodes (potentially 16nm or below).

Nakasone responded positively to the president’s call, acknowledging that semiconductor security is now national security. He cited U.S. President Donald Trump’s tariffs on Asian tech exports as a stark reminder of why regional economic autonomy and resilience must be prioritized.

Strategic Significance:

This meeting is especially important given the intensifying U.S.-China rivalry, Japan’s rearmament under its new National Security Strategy, and Taiwan’s upcoming presidential transition. The two democracies are increasingly aligning on strategic and economic levels, especially in their efforts to counterbalance China’s growing assertiveness in the Indo-Pacific.

Analysts note that Japan’s ramped-up engagement with Taiwan—this being the second Japanese parliamentary delegation in a week—is a clear signal to Beijing that Tokyo sees Taiwan’s security as closely linked to its own.

Moreover, by highlighting collaboration in semiconductors, both nations are also signaling their commitment to supply chain diversification, in a world increasingly shaped by export controls, chip wars, and technological nationalism.


FAQs

Why is Taiwan-Japan semiconductor cooperation important?

Taiwan leads in chip manufacturing, while Japan excels in semiconductor materials, equipment, and intellectual property. Their collaboration enhances supply chain resilience amid U.S.-China tech tensions.

What role does TSMC play in this cooperation?

TSMC’s Kumamoto plant in Japan is the flagship project of this partnership. It not only boosts Japan’s chip self-sufficiency but also deepens interdependence between the two nations.

Why did President Lai emphasize Taiwan Strait peace?

The Taiwan Strait is a key trade route and geopolitical flashpoint. Ensuring peace there is crucial for global stability, and Taiwan wants stronger backing from allies like Japan.

Who is Yasutaka Nakasone?

He is a Japanese LDP lawmaker and grandson of former Prime Minister Yasuhiro Nakasone. As head of the Youth Division, he plays a role in shaping Japan’s next-generation leadership and foreign policy stances.

How does the U.S. fit into this dynamic?

With Trump’s new tariffs disrupting global trade, Taiwan and Japan are looking to strengthen bilateral ties and reduce dependency on single markets, while still aligning closely with U.S. strategic interests.

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