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Lai talks chips, security at Hawaii think tank

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Lai in Hawaii as part of Pacific tour

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China condemns Lai's U.S. stopover

(Recasts, adds comments from speech, paragraphs 4-7 and 11, 12)

By Ben Blanchard

TAIPEI, Dec 2 (Reuters) - Taiwan's partnership with the

United States is a source of strength for the high-tech

industry, including the semiconductor sector, and shows the

island is a trusted and reliable partner, President Lai Ching-te

told a think-tank in Hawaii.

Taiwan is a major producer of chips used in everything from

cars to AI applications and is home to key Apple ( AAPL ) and Nvidia ( NVDA )

supplier TSMC.

But President-elect Donald Trump criticised Taiwan during

the U.S. election campaign, accusing it of stealing business

from American semiconductor companies. His threat of broad

import tariffs could also affect an industry that is crucial to

the island's economy.

Addressing Hawaii's East-West Center on Sunday, Lai said

Taiwan actively contributes to the global supply chain,

especially in high-tech industries such as semiconductors,

according to a summary of his remarks released by the

presidential office in Taiwan.

"The U.S.-Taiwan partnership not only strengthens these

industries, but also demonstrates the strategic importance of

Taiwan as a trusted and reliable partner," the statement

paraphrased Lai as saying in closed-door comments he gave in

English.

"Taiwan also actively cooperates with like-minded countries,

demonstrating that Taiwan utilises its expertise to contribute

to global development."

The excerpts of the remarks made no mention of Trump, who

also said before winning last month's U.S. election that Taiwan

should pay to be protected.

Lai is making a stopover in Hawaii as part of a week-long

visit to allies in the Pacific. China has condemned the trip,

saying it opposes any such transit stops by Taiwanese leaders on

U.S. territory.

China claims democratically governed Taiwan as its own

territory, a position Lai and his government reject, and has

stepped up its military activities around the island in the past

five years.

Security sources have told Reuters that China could hold

more drills around Taiwan to coincide with Lai's Pacific trip.

Lai, at the think tank, reiterated that Taiwan was committed

to strengthening its defence and would work closely with

like-minded countries to uphold the concept that "strength

brings peace" and to defend the universal values of freedom,

democracy and the rule of law.

"The cooperation between Taiwan and the U.S. in recent years

has demonstrated Taiwan's commitment to its own security, as

well as the common commitment of Taiwan and the U.S. to peace in

the Indo-Pacific region," the president's office cited him as

saying.

Lai also held a 20-minute call with former U.S. House of

Representatives Speaker Nancy Pelosi on Sunday, during which

they discussed China's military threats, Taiwan's official

Central News Agency reported.

China held war games around the island in 2022, furious at

then-Speaker Pelosi's trip to Taiwan.

The United States is Taiwan's most important international

backer and arms supplier, even in the absence of formal

diplomatic ties.

From Hawaii, Lai will travel to Marshall Islands, Tuvalu and

Palau, three of the 12 countries to retain official relations

with Taipei.

He will also make a stop over in the U.S. territory of Guam.

Both Hawaii and Guam are home to major U.S. military bases.