Chatham House
 Printable version
|
A Taiwan crisis would cause far more global economic damage than Strait of Hormuz disruption
EXPERT COMMENT
As China ramps up its pressure on Taiwan, the Strait of Hormuz closure must serve as a wake-up call for European policymakers.
The closure of the Strait of Hormuz following the start of the Iran war has had huge consequences for the global economy. It has cut off essential supply lines for oil and gas, fertilizer and industrial chemicals, prompting the IMF to warn of a possible global recession if the war does not abate. As governments scramble to respond, the conflict in the Gulf should also prompt them to ramp up their preparations for a possible crisis over Taiwan – which would have a far more devastating impact on Europe and the global economy.
This is not an academic point. China has been intensifying its military, diplomatic and economic pressure on Taiwan, as it seeks to absorb the de facto independent island, which it claims as its sovereign territory. In recent years, Beijing has started to use military exercises to trial a possible blockade of Taiwan. Chinese leaders refuse to renounce the use of force to achieve their stated goal of unification, which they describe as a ‘historical mission that we must fulfil’.
Click here to continue reading the full version of this Expert Comment on the Chatham House website.
Original article link: https://www.chathamhouse.org/2026/04/taiwan-crisis-would-cause-far-more-global-economic-damage-strait-hormuz-disruption
 |
RESEARCH | EXPERTS | EVENTS | MEMBERSHIP | ACADEMY | ABOUT |
