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Taiwan leverages chip power for diplomacy at Semicon trade show

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At this year’s Semicon trade show in Taipei, Taiwan elevated its “chip diplomacy” strategy, using its dominance in the semiconductor industry to strengthen diplomatic ties with both established allies and new partners.

Taiwan’s TSMC, the world’s largest contract chipmaker, sits at the center of global supply chains but Taiwan itself remains diplomatically isolated due to China’s sovereignty claims. To counter this, Taiwan’s foreign ministry co-sponsored a Semicon geopolitics panel for the first time, where Foreign Minister Lin Chia-lung described semiconductors and AI as “strategic resources” and stressed the need for trusted, “non-red” supply chains outside China.

The outreach comes as Taiwan courts “like-minded” democracies in Central and Eastern Europe, where sympathy has grown following Russia’s invasion of Ukraine. Czech Science Minister Marek Zenisek, speaking alongside President Lai Ching-te, highlighted shared democratic values and pitched his country as a supplier for TSMC’s first European fab in Dresden, Germany.

But Semicon also drew less expected guests. Costa Rica, which cut ties with Taiwan in 2007 in favor of China, attended for the first time with a national pavilion. And in another first, a group of 10 African tech entrepreneurs joined, supported by the French-African Foundation. Joelle Itoua Owona, CEO of AfriWell Health in the Republic of Congo, said African governments want to diversify partnerships beyond China, calling Taiwan “an additional friend.”

With 17 country pavilions—the most ever— this year’s Semicon showcased how Taiwan’s chip industry has become a powerful diplomatic tool. Beyond chips and AI, the trade show highlighted Taiwan’s role in building global coalitions at a time of intensifying pressure from Beijing.

U.S. Orders Diplomatic Lobbying Against EU’s Digital Services Act Over Free Speech Concerns

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The Trump administration has directed U.S. diplomats in Europe to launch a lobbying campaign opposing the European Union’s Digital Services Act (DSA), citing concerns that the law imposes excessive restrictions on free speech and creates burdensome costs for U.S. tech companies.

An internal State Department cable dated August 4, signed by Secretary of State Marco Rubio, instructs American diplomats to actively engage with EU governments and digital regulators to build support for repealing or amending the DSA and related legislation. The memo labels parts of the law as “undue” limits on expression under the guise of combating hate speech and misinformation.

The DSA is designed to hold tech companies accountable for illegal content online, such as hate speech and child sexual abuse material. However, the Trump administration views it as an infringement on free speech, especially political and religious expression, and has criticized the EU for what it sees as censorship targeting conservative voices.

Rubio’s directive includes specific talking points urging diplomats to push for narrowing the definition of illegal content, scaling back fines for non-compliance, and reducing reliance on “trusted flaggers” — entities authorized to report illegal content to platforms. It also calls for investigations into censorship cases affecting U.S. citizens and companies, including arrests and online suspensions linked to the DSA.

The European Commission rejects censorship accusations, emphasizing freedom of expression as a fundamental right. It maintains that the DSA aims to keep digital markets open and is not intended to target U.S. companies. EU officials also assert that the DSA and related tech laws are not part of ongoing trade negotiations with the U.S.

The lobbying effort marks an escalation of U.S. efforts to assert its free speech traditions internationally and intensifies tensions with European allies, with previous criticisms from officials such as Vice President JD Vance accusing Europe of suppressing certain political groups.

U.S. tech giants, including Meta and Tesla, have voiced concerns over the DSA. Meanwhile, the U.S. Federal Communications Commission chairman has criticized the law’s compatibility with American free speech norms. Rubio has even threatened visa bans on foreign officials involved in “censoring” Americans.

Poland Hopes for AI Chip Export Restrictions to Be Lifted Under Trump

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Poland is optimistic that the Trump administration will reverse the AI chip export restrictions imposed during the final days of President Joe Biden’s tenure. Dariusz Standerski, Poland’s deputy digital minister, expressed hopes on Wednesday that these restrictions, which limit Poland’s access to U.S.-designed AI chips, may be lifted under the new leadership.

The law, which was implemented by the Biden administration, categorized countries into three tiers. While 18 nations, including Japan, Britain, and France, were largely exempt from the restrictions, Poland and 120 other countries faced strict caps. Countries like Russia, China, and Iran were entirely barred from receiving the technology. Standerski criticized the decision, calling it “irresponsible” and stating that the Biden administration failed to provide a clear explanation for Poland’s placement in the second tier.

However, Standerski noted that Poland’s dialogue with the Trump administration had been “very constructive,” and he believes there is a “big chance” that Poland could be moved to the first tier, which would provide it with unrestricted access to the technology. Ongoing consultations are expected to last until May 15.

In addition, Poland’s Deputy Prime Minister Krzysztof Gawkowski discussed the potential rollback of these restrictions with U.S. Vice President JD Vance at the AI Action Summit in Paris last month. Tech groups, including Microsoft, have also urged the Trump administration to ease these restrictions, advocating that such measures should not be extended to U.S. allies.

Furthermore, the European Commission has voiced support for the idea, stating that the EU should be able to access advanced AI chips from the U.S. without limitations.