Foxconn might shape the next Taiwanese elections, possibly disrupting China-Taiwan relationships.
Apple’s main Chinese supplier Foxconn is at the center of a political debate that might shape the region’s future, and possibly extend to the rest of the world. Foxconn manufactures Apple’s flagship products, including the iPhone and the Mac computers.
On Sunday evening, it became apparent that Foxconn was under tax probe in mainland China, officially the People’s Republic of China, despite being a Taiwan-based firm. Taiwan, officially the Republic of China, is considered a rebel province by Beijing, which has vocally sought reunification by any means possible.
Foxconn’s founder Terry Gou, who stepped down from the company in 2019, is running as an independent candidate for president in the upcoming Taiwanese elections.
The current investigation targets Foxconn’s operation in the Hunan and Hubei provinces in mainland China. Observers have noted how this investigation began just three months ahead of the elections.
Foxconn is closely connected with both countries. As a matter of fact, Taiwanese firms plea for the maintenance of the status quo between the two countries. A Chinese invasion of Taiwan would likely cripple both economies and could result in the outbreak of World War III.
However, Gou’s presidential campaign might work against closer relationships with China, something that Beijing cannot allow.
What is Taiwan’s DPP
Taiwan normally follows a two-party system for the presidential elections. Taiwan’s parties, the Kuomintang and the Democratic Progressive Party (DPP) have opposing views in regards to China’s relationships.
The Kuomintang is the oldest political party in Taiwan. Its historical leader, Chiang Kai-Shek, fought the Chinese Civil War against Mao and lost, fleeing to Taiwan and creating an independent state.
The Kuomintang considers itself at odds with mainland China but is counter-intuitively seen better by Beijing than the DPP. Much like Beijing’s government, the Kuomintang follows the “One China Policy”. Both agree there can only be one China, they only disagree on which one is the legitimate government of the country.
The DPP, on the other hand, seeks total and complete independence. Its goal is to create a different nation and sovereign state in Taiwan, completely separate from its mainland peers. And that, Beijing cannot tolerate.
The DPP is the current ruling party of Taiwan, which is part of the reason why China has recently taken a harsher stance against the island. However, if the Kuomintang won the next elections, relationships between the two countries would ease.
The problem for Beijing is that Terry Gou is splitting the opposition, letting the DPP gain more ground. Terry Gou is quite literally in the way of Beijing’s plans, and might disrupt relationships with Taipei in the near future.
