Taiwan's national security officials would like to persuade Apple Inc's supplier Foxconn to unwind an $800 million investment in Chinese chipmaker Tsinghua Unigroup.

HIGHLIGHTS
Taiwan asked to unwind $800 million investment in Chinese chipmaker 
In order to prevent China’s ambition Taiwan had proposed new laws
Foxconn was a shareholder in embattled chip conglomerate Tsinghua Unigroup

As per the report cited by a senior Taiwanese government official who was involved in the national security issues, the deal would definitely not being through anything.

Taiwan, the world's largest contract electronics maker, has become progressively cautious regarding China's ambition to spice up its semiconductor sector. So, it has proposed new laws in order to prevent what it would mention was China stealing its chip technology, amid rising issues in Taipei that Beijing was stepping up its economic espionage.

Well, the island's government prohibits firms from building their most advanced foundries in China in order to make sure that they were not offshoring their best technology. Taiwan has been facing mounting pressure from China that considers the democratically ruled island its own territory.

The investments were yet to be formally reviewed by the Taiwan's cabinet commission, one of the report on Wednesday had quoted an anonymous person who was briefed on the matter as it has been mentioning, adding this the officials from the National Security Council and Mainland Affairs Council who had believed that the deal has to be blocked.

Foxconn has mentioned in one of the statement that it has submitted reports to Taiwan authorities regarding the investment and would continue to have a conversation with the government officials.

It was completely cleared that they had elevated this to the national security level and therefore the prospects were becoming dim, as per a spokesperson from the company and the person had added that the deal appeared to be difficult to undergo with increasing tensions within the Taiwan Strait.

Tensions have escalated in the Taiwan Strait when the U.S. House of Representatives Speaker Nancy Pelosi who had visited the Chinese-claimed self-ruled island last week, a move that Beijing would condemn as a threat to peace and stability.

Last month, Foxconn has mentioned that it was a shareholder in embattled chip conglomerate Tsinghua Unigroup through a $798 million investment by a subsidiary.

Also Read: In Competition with China, Joe Biden Signs Chip Bill to Boost Semiconductor Manufacturing