13 October 2024

China could wage economic war on Taiwan to force surrender, report say


U.S. military officials and analysts have for years warned of possible armed attacks or blockades by China on Taiwan, but a report released Friday has raised a red flag about possible nonmilitary tactics that could be used effectively against the self-governed island.

Beijing could wage an economic and cyber war to force a surrender from Taiwan without direct use of military power, the Foundation for Defense of Democracies, a Washington research institute, said in the report. Such a likely but overlooked scenario, it said, poses a challenge for the U.S., the island's biggest ally, and it suggested Washington make preparations for how best to respond.

FDD researchers teamed up with banking and finance experts in Taiwan over two days earlier this year to simulate likely nonmilitary moves by Beijing, such as disinformation campaigns and cyberattacks on infrastructure. The exercise was the first of its kind and sought to fill an analytical gap, FDD said.

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