China has blocked imports of citrus and fish from Taiwan in retaliation for U.S. Speaker Pelosi's visit but avoided sanctions on Taiwanese processor chips for smartphones and other electronics that could send shockwaves through the global economy.
Beijing also announced four days of military exercises with artillery fire in waters around Taiwan. That might delay or disrupt shipping to and from the island, one of the biggest global traders.
Meeting leaders in Taiwan, Pelosi said she and other members of Congress in a visiting delegation were showing they will not abandon their commitment to the self-governing island. Its producers including Taiwan Semiconductor Manufacturing Corp. make the most advanced processors for smartphones, tablet computers, medical devices and other products. Taiwan says chip sales to China factories rose 24.4% last year to $104.3 billion.Beijing has invested billions of dollars in developing its own industry, which supplies low-end chips for autos and appliances but cannot support the latest smartphones, tablet computers, medical devices and other products.
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