Trump roils waters on 'Taiwan independence': Four things to know
Concerns are growing about a shift in U.S. President Donald Trump's posture toward Taiwan, Nikkei Asia reports in a four-point analysis. The piece argues that the White House appears to be softening Washington's decades-old strategic ambiguity over 'Taiwan independence,' and that Beijing's firm response is rattling investor confidence and Taipei's defence planning.

Nikkei Asia's four-point analysis argues that U.S. President Donald Trump's recent remarks on Taiwan appear to soften Washington's decades-old 'strategic ambiguity' line. The piece notes that Trump's more guarded phrasing on 'Taiwan independence' has been read in Chinese government circles as a 'constructive signal,' while creating uncertainty for defence planning and allied diplomacy on the island.
Chinese foreign ministry spokesperson Mao Ning reiterated that 'the One China principle must be preserved as the foundation of international relations.' The office of Taiwan's President Lai Ching-te said formal consultations with Washington were continuing and that existing defence contracts had not changed. U.S. Defense Secretary Pete Hegseth told the Shangri-La Dialogue in Singapore that Washington was 'not turning its back on Asian allies,' and the Pentagon confirmed that planned F-16V deliveries would proceed on schedule.
The financial response has been visible. The Taiwan dollar weakened about 1.6 percent on the week, and Bloomberg observations indicate that insurance premiums for Taiwanese industrial firms have risen 12 percent. TSMC said it would announce additional production-line capacity for its Phoenix, Arizona, plant in October. The Quad foreign ministers' June meeting is due in the coming weeks, with supply-chain diversification and semiconductor oversight at the top of the agenda.
More from Asia

Russia says a Ukrainian drone struck the Zaporizhzhia nuclear plant
Russia's state nuclear operator Rosatom said a Ukrainian drone struck the Russian-controlled Zaporizhzhia nuclear power plant, but reported no change in ambient radiation levels, SCMP reported. Kyiv denied responsibility, and the International Atomic Energy Agency requested further information for independent verification.

Japan to bolster sea lane defence with Southeast Asia info-sharing plan
Japan will set up a broad maritime information-sharing framework with Southeast Asian countries, led by the Philippines, Vietnam and Indonesia. With the Hormuz crisis and South China Sea tensions in the background, Tokyo is moving to protect critical trade lanes.

Inflation storm builds in India as rupee sinks deeper
India's wholesale price inflation is expected to face additional upward pressure as oil and metal prices remain elevated amid geopolitical tensions. A weakening rupee is further worsening the inflation outlook, a new report warned.