While Taiwan and the People's Republic of China (PRC) seem increasingly distant from a political point of view, they remain strictly economically intertwined. In 2023 over a third of Taiwan's exports were destined to China, highlighting the importance of the mainland market for Taiwanese businesses. Vice-versa, Taiwan plays a crucial role in supplying Chinese firms with essential components, particularly semiconductors (also known as integrated circuits). Chinese data indicates that Taiwan is responsible for nearly 40% of its semiconductor imports by value, a figure that has even increased slightly in recent years due to the success of companies like TSMC. Adding the imports from South Korea, a formal US ally, China's imports of semiconductors reach a percentage of nearly 60%.