Beijing has warned of “serious consequences” in the face of the possible arrival of the president of the US House of Representatives on the island.
Stock markets in Asia fell on Tuesday due to growing tensions between China and the US over the possible visit to Taiwan of the president of the US House of Representatives, Nancy Pelosi.
The climb made the Chinese stock markets crash. The Shanghai Composite Index lost 2.26%, and Hong Kong’s Hang Seng Index fell 2.3% on Tuesday.
Likewise, Taiwan’s TAIEX closed down 1.56% to 14.981 points during the day. Meanwhile, Japan’s Nikkei fell 1.42%, and South Korean stocks lost 0.50% in morning trading.
Tensions across the Taiwan Strait have been rising following reports of a possible visit by the Speaker of the US House of Representatives, Nancy Pelosito the self-governing island, which China considers part of its territory, as part of its tour of the Asia-Pacific region that includes Singapore, Malaysia, South Korea and Japan.
If Pelosi’s arrival materializes, it would be the first visit to the island by a high-ranking US politician in 25 years.
For its part, Beijing warned of “serious consequences“If the trip goes ahead, and in response, they have stepped up military exercises in the region, including live fire.