AGP Executive Report

Cross-Strait Tensions: Taiwan’s Coast Guard warned off a Chinese oceanographic research vessel, Xiang Yang Hong 22, from restricted waters off Su’ao, shadowing it with patrol ships and issuing radio orders after the vessel entered Taiwan’s limits. Defense Posture: Taiwan also carried out a first-of-its-kind live-fire drill using U.S.-supplied HIMARS rockets, firing 32 rounds westward in “shoot-and-scoot” tests meant to deter an amphibious invasion—prompting China to call it a provocation. US-Iran Fallout: Lawmakers and markets reacted to Trump’s Iran deal as negotiations for a lasting agreement were delayed, with oil and stocks swinging on uncertainty. Tech & Chips: Trump announced an Apple-Intel partnership to design and manufacture chips in the U.S., a move that could reshape domestic semiconductor plans while Taiwan remains central to global advanced chip supply. Local Life & Culture: Dragon Boat Festival traditions continued in Taiwan, with communities reviving races using recycled materials in Sanxia. Health & Business: Taiwan’s labor policy push includes aligning gig-worker protections with international standards, while biotech and clinical research groups expand Asia operations.

Taiwan-US Security: Taiwan fired 32 U.S.-supplied HIMARS rockets westward in a first-of-its-kind live-fire drill, testing “shoot-and-scoot” tactics and a rapid response to a possible amphibious invasion, while China condemned it as a provocation. Arms Sale Push: President Lai Ching-te again urged the U.S. to approve a $14 billion arms package “as soon as possible,” saying Taiwan rejects unification and relies on Washington for self-defense. Cross-Strait Tensions: China says it conducted a marine environmental survey east of Taiwan to study ecology under its “jurisdiction,” as Taiwan calls the activity illegal. Diplomacy Pressure: Taiwan accused Kenya of blocking its delegates at an oceans forum under “Chinese pressure,” warning this is becoming the “new normal.” Tech & Markets: Trump said Apple will “design and build” chips with Intel in the U.S., sending Intel shares up sharply and lifting Wall Street as oil eased on the U.S.-Iran deal. Media Habits: A Reuters report found social media and video platforms overtook TV and news sites as the top source for news globally.

Taiwan-US Defense: President Lai Ching-te said he hopes Washington will approve a new $14 billion arms package “as soon as possible,” stressing Taiwan’s self-defense needs and that its stance is not meant to provoke China. Cross-Strait Tensions: Taiwan fired 32 U.S.-supplied HIMARS rockets westward in a first-of-its-kind live-fire drill testing “shoot-and-scoot” tactics, drawing Chinese condemnation as a provocation. Diplomacy & Maritime Rights: Lai dismissed fears that Japan-Philippines EEZ talks could harm Taiwan’s rights, saying China has no claim and Taiwan will safeguard its interests under international norms. China Pressure Claims: Taiwan accused Kenya of blocking its participation in an oceans forum under “high-level Chinese pressure,” calling it a “new normal.” Cybersecurity: FortiBleed exposed active admin credentials for tens of thousands of Fortinet firewalls worldwide, with Taiwan among the hardest hit. Economy & Tech: Taiwan climbed to a record No. 4 in the IMD World Competitiveness Ranking, citing AI-driven export and GDP growth. Entertainment: Crunchyroll plans to expand to Taiwan this summer with localization, marketing and community-building.

Taiwan Strait Tensions: Taiwan fired 32 U.S.-supplied HIMARS rockets westward in a first-of-its-kind live-fire drill on the west coast, testing “shoot-and-scoot” tactics aimed at deterring a possible amphibious invasion; China condemned it as a provocation. Defense Diplomacy: Taiwan’s opposition leader CHENG LI-WUN faced Washington snubs after blocking a proposed $40 billion defense boost, with the KMT later approving a reduced $25 billion budget. G7 Signal on Taiwan: G7 leaders reiterated opposition to unilateral force or coercion across the Taiwan Strait, with Taiwan’s foreign ministry welcoming the message. Energy Security: Taiwan’s state oil firm CPC said it’s ready to adjust crude and LNG procurement if the Strait of Hormuz reopens, citing high inventories. Cybersecurity: Researchers warned of the FortiBleed campaign targeting Fortinet firewalls, with tens of thousands of exposed devices and stolen credentials reported across many countries. Tech & Markets: TSMC stayed in focus as investors weigh its AI-driven outlook and premium valuation, while global markets reacted to U.S. rate-hike fears. Sports: Taiwan’s Su Ching-Hung and others featured in regional golf and tennis updates, alongside volleyball results involving Chinese Taipei.

Taiwan Strait Deterrence: Taiwan fired 32 U.S.-supplied HIMARS rockets westward toward waters facing China in a first-of-its-kind live-fire drill, testing “shoot-and-scoot” tactics and drawing sharp condemnation from Beijing. Diplomacy & Regional Pressure: Taiwan’s top diplomat said Taipei is tightening ties with the Philippines and neighbors to resist what it calls China’s “new normal” maritime pressure. China Cross-Strait Moves: Mainland authorities said Taiwan arrivals via Fujian ports rose nearly 30% in the first five months of 2026, while Taiwan also accused China of coercive pressure in the region. Semiconductor Demand Shift: Samsung is reportedly seeing rising advanced chip production requests from BYD, Google, AMD and others as AI infrastructure demand strains TSMC capacity. G7 Signals on Taiwan Strait: The G7 backed Ukraine and also reaffirmed opposition to unilateral status-quo changes, with Taiwan’s Presidential Office thanking leaders for support for peace across the Taiwan Strait. International Friction: Taiwan accused Kenya of deporting Taiwanese scholars hosting an oceans conference under China’s pressure, escalating another diplomatic dispute. Markets & Oil: Stocks were mixed as oil slid below $80 on optimism around an interim U.S.-Iran deal and Hormuz shipping reopening prospects.

Taiwan-US Defense: Taiwan carried out a historic live-fire drill, firing 32 U.S.-supplied HIMARS rockets westward toward the Taiwan Strait in a “shoot-and-scoot” test meant to raise the cost of any amphibious invasion; China condemned it as a provocation. Cross-Strait Politics: KMT chair Cheng Li-wun wrapped up a two-week U.S. trip, meeting U.S. lawmakers and defense-focused figures as Taiwan’s opposition tries to reassure Washington about its China approach. Indigenous Culture & Sea Links: The Tao people’s traditional “Golden Friendship” boat arrived in Batanes, Philippines, reviving an ancestral route from Lanyu (Orchid Island) and strengthening Tao–Ivatan ties. Tech & Chips: Intel said its 18A-P process node has entered initial production, signaling progress in its foundry turnaround as AI demand keeps pushing advanced chip manufacturing. AI in the Physical World: Alibaba unveiled its Qwen Robot Suite for “embodied AI,” aiming to move beyond chat-style systems into robots that navigate and manipulate real environments. Markets: Chinese stocks listed in Hong Kong slid as investors rotated toward AI-linked chipmakers, leaving internet and consumer-heavy benchmarks under pressure. Regional Security: The Indo-Pacific Command chief warned Congress that the risk of war with China is growing and urged major new missile, drone, and surveillance funding.

Defense & Cross-Strait Tensions: Taiwan conducted a historic live-fire drill, firing 32 U.S.-supplied HIMARS rockets westward toward waters facing China, testing “shoot-and-scoot” tactics and signaling deterrence—Beijing condemned it as provocation. Diplomacy & International Pressure: Taiwan withdrew from the Our Ocean Conference in Kenya after two delegation members were denied entry and detained, with Taiwan alleging the move was driven by Chinese pressure. Public Health: Kaohsiung’s dengue cluster at Min-Sheng Hospital was linked to an imported Vietnam case, while the CDC reported Taiwan’s youngest-ever Japanese encephalitis patient: a 3-month-old infant in Hualien. Politics: Cross-party support to abolish Taiwan’s Control Yuan grew after a nominee withdrew, citing constitutional amendment momentum. Tech & Markets: Taiwan stocks climbed on AI-led sentiment; TSMC’s ADRs ranked No. 7 globally as SpaceX’s IPO boosted risk appetite. AI Infrastructure: Schneider Electric and Foxconn/ Hon Hai teamed up to standardize and scale AI data-center power and cooling designs. Culture & Community: The Tao people’s “Golden Friendship” traditional boat arrived in Batanes, reviving a centuries-old Taiwan-Philippines maritime route.

Cross-Strait Security: Taiwan carried out its first live-fire HIMARS drill on the west coast, firing 32 U.S.-supplied rockets westward in a “shoot-and-scoot” exercise meant to simulate a response to an amphibious invasion, drawing sharp condemnation from China as a provocation. Intelligence & Security Tools: Taiwan’s National Security Bureau launched a website inviting Chinese citizens to report “tips” and intelligence, saying it will rigorously filter submissions and follow up using technology. Defense Watch: Taiwan also reported Chinese law-enforcement vessels entering restricted waters near Taiping (Itu Aba) for the first time, with Taiwan’s coast guard pushing them back. Tech & Industry: Schneider Electric and Hon Hai/Foxconn announced a strategic partnership to build AI data-center infrastructure, combining Hon Hai’s manufacturing and AI systems know-how with Schneider’s power, cooling, and energy management. Markets: Asian tech stocks jumped after a U.S.-Iran framework deal to extend a ceasefire and reopen the Strait of Hormuz, lifting AI and semiconductor names and pushing Japan’s Nikkei above 69,000. Business/Trade: Taiwan’s National Security Bureau also highlighted growing cross-border intelligence risks as it expands its public-facing recruitment channel.

Cross-Strait Security: Taiwan conducted its first west-coast live-fire HIMARS drill, firing 32 U.S.-supplied rockets toward waters in the Taiwan Strait to test “shoot-and-scoot” tactics and deter an amphibious invasion, drawing sharp condemnation from Beijing. Intelligence Crackdown: Taiwan’s National Security Bureau launched a website inviting Chinese citizens to report information, saying it will rigorously filter and follow up tips amid ongoing espionage concerns. AI Data Centers: Schneider Electric and Hon Hai/Foxconn announced a strategic partnership to build and scale next-generation AI data center infrastructure, combining power, cooling and energy management with Hon Hai’s AI rack integration and manufacturing capacity. Public Opinion: A new Taiwan poll found 58% reject Beijing’s “one China principle” as a precondition for talks, though rejection is down from earlier years. Economy & Markets: Taiwan’s Taiex jumped above 45,000 points as investors cheered a U.S.-Iran deal that sent oil prices lower and boosted regional tech stocks. Health Watch: Taiwan’s TFDA said a suspected infant formula linked to U.S. botulism cases has not been imported for at least three years. Business Flows: Foreign investors extended selling in Asia; Taiwan saw two weeks of net outflows despite strong export growth.

Military Tensions: Taiwan fired 32 U.S.-supplied HIMARS rockets westward in a first-of-its-kind live-fire drill, testing “shoot-and-scoot” tactics and a rapid response to a possible amphibious invasion; Beijing condemned it as provocation. Defense & Security Tech: Taiwan also launched an online intelligence reporting platform for people in China to submit information tied to Taiwan’s national security, as PLA aircraft and naval activity continue around the island. Cross-Strait Policy: Taiwan proposed tougher penalties for military service evasion, including a minimum one-year prison term, aiming to deter high-profile avoidance cases. South China Sea: Taiwan reported mainland Chinese law enforcement vessels entering restricted waters near Taiping/Itu Aba and said its coast guard drove them away, warning of growing “effective control” attempts. Sports (AVC Women’s Cup): South Korea swept Chinese Taipei to win the title; meanwhile, Philippines’ Alas Pilipinas finished eighth after a loss to Iran, with Niña Ytang calling the debut a once-in-a-lifetime experience. Regional Economy/Markets: Foreign investors sold a record $134 billion in Asian assets in early 2026 even as Taiwan’s TAIEX and other markets rallied, highlighting a potential fragility in capital flows.

Cross-Strait Security: Taiwan carried out a historic live-fire drill, firing 32 U.S.-supplied HIMARS rockets westward toward the Taiwan Strait in a “shoot-and-scoot” test meant to raise the cost of any amphibious invasion; China condemned it as provocation. Defense & Deterrence: Taiwan also reported ongoing PLA sorties and vessels around the island, underscoring rising military pressure. Intelligence Push: Taiwan’s National Security Bureau launched a secure webpage inviting Chinese nationals to submit intelligence tips, saying it aims to broaden sources amid growing discontent in China. China’s Pressure Strategy: Taiwan’s Mainland Affairs Council hit back at Beijing’s “fake integration, real pressure” approach, arguing it masks an annexation goal. Local Governance & Labor Rights: Migrant caregiver groups urged Taiwan to allow household migrant caregivers to be hired and managed by long-term care agencies, warning current rules leave workers overworked and care recipients at risk. Economy & Trade: Taiwan’s agriculture ministry warned China is not a stable export market after Beijing announced procurement plans for Taiwanese farm and fishery products. Sports & Culture: Mandopop singer-songwriter David Wong died at 61; and in volleyball, Alas Pilipinas finished eighth at the AVC Women’s Cup after a loss to Iran.

Cross-Strait Security: Taiwan carried out a first-of-its-kind live-fire drill, firing 32 U.S.-supplied HIMARS rockets westward toward China in a “shoot-and-scoot” exercise meant to simulate a response to an amphibious invasion, drawing Beijing’s condemnation as provocation. US-Taiwan Defense Politics: KMT chair Cheng Li-wun said she wants to keep engaging Washington on Taiwan’s defense during a U.S. visit, while avoiding specifics on a pending $14 billion arms sale. Cross-Strait Exchange Push: The 18th Straits Forum in Xiamen featured calls for peaceful development and more exchanges while opposing separatism, with mainland advisor Wang Huning reiterating “one China” and rejecting “Taiwan independence.” Tech & Industry: COMPUTEX 2026 wrapped up in Taipei with 111,000+ visitors, spotlighting AI, robotics and next-gen tech, underscoring Taiwan’s role in the AI supply chain. Business & Mobility: A Taiwan-focused report highlighted THSR’s Bluetooth/QR “spontaneous” ticketing for quick boarding, and another noted Synology’s push toward enterprise and AI-ready storage as data sovereignty and AI workloads grow. Sports (AVC Women’s Cup): Chinese Taipei booked its first-ever final by beating Kazakhstan, setting up a title match against South Korea after the Koreans swept Vietnam in the other semifinal.

Cross-Strait Tensions: Taiwan carried out a first-of-its-kind live-fire drill firing 32 U.S.-supplied HIMARS rockets westward toward the Taiwan Strait, testing “shoot-and-scoot” tactics and rapid precision strikes—an escalation Beijing condemned as provocation. Local Governance & Public Safety: Taiwan’s Air Force resumed T-34 trainer flight training after inspections following a fatal June 2 crash, with the cause still under investigation. AI Policy: NTU approved an AI and Digital Governance Strategy Task Force, aiming to set short-, medium-, and long-term rules and push shared access to AI computing resources for students. Food & Trade: Taiwan mangoes entered France’s premium wholesale market in Paris, targeting luxury hotels, upscale restaurants, and specialty stores after years of EU quarantine and compliance talks. Health Watch: Taiwan’s TFDA ordered a recall of two batches of chronic kidney disease tablets (Kremezin 500 mg) over quality-related testing deviations, requiring corrective steps by July 1. Travel & Mobility: China Airlines will raise its booking fee again in July, while CPC kept domestic gasoline and diesel prices steady next week to ease inflation pressures. Sports: Chinese Taipei booked its first-ever AVC Women’s Cup final by stunning Kazakhstan, while PV Sindhu’s Australian Open run ended in the semifinals against Japan’s Akane Yamaguchi.

Cross-Strait Security: Taiwan carried out a first-of-its-kind live-fire drill firing 32 U.S.-supplied HIMARS rockets westward toward the Taiwan Strait, testing “shoot-and-scoot” tactics and drawing sharp condemnation from Beijing as a provocation. Opposition Diplomacy: KMT chair Cheng Li-wun told U.S. lawmakers and scholars her party backs defending Taiwan while keeping “permanent secession” off the table, aiming to correct “misunderstandings” about her pro-engagement approach after criticism from Washington hawks. Maritime Tensions: Taiwan again condemned China’s maritime pressure around disputed waters east of the island, with reports of coast guard actions and Taiwan vowing firm responses. Tech & Industry Links: A Pima County delegation’s Taiwan trip produced MOUs tied to semiconductor and education partnerships, including sister-city ties with Kaohsiung and cooperation with Taiwan’s Ministry of Education. Taiwan in Science & Culture: A new study described a tiny “sesame-seed” sea slug species found off northern Taiwan, while a Taiwan Film Week in Israel highlights Taiwanese storytelling for international audiences. Global Watch: China claims “spy turtles” and “spy fish” are mapping its waters, and a California judge rejected a bid to halt an Indonesian fishers’ human-trafficking case against Bumble Bee.

Cross-Strait Security: Taiwan conducted its first westward HIMARS live-fire drill, firing US-supplied rockets toward waters facing China as part of an anti-invasion scenario, underscoring rising PLA pressure and a shift toward more mobile, rapid-response deterrence. Maritime Tensions: Taiwan also reported Chinese coast guard activity and said it would expel Chinese vessels after patrols near disputed eastern waters, as both sides clash over the legality of coast guard operations. Defense Diplomacy: Taipei’s de facto US envoy said a pending US$14 billion arms package is moving forward under Trump, while KMT leader Cheng Li-wun met Trump ally Steve Daines in Washington and argued for engagement without opposing arms sales. Tech & Industry: Computex 2026 highlighted “agentic” AI moving into physical-world computing, while Google reportedly discussed splitting next-gen AI chip production with Samsung, with TSMC expected to handle key parts. Business: PharmaEssentia (Taiwan) agreed to buy Canada’s FORUS Therapeutics for US$36.5 million to expand its North American footprint. Sports (Taiwan-linked): Chinese Taipei beat Alas Pilipinas to knock them out of AVC Women’s Cup semifinal contention.

Cross-Strait Maritime Tensions: Taiwan’s Coast Guard condemned China after Chinese official vessels briefly entered restricted waters near Taiping (Itu Aba) in the Spratlys, then were expelled; Taipei said the move was meant to create a false impression of jurisdiction and vowed to drive away any challengers. Defense Posture: Taiwan also test-fired U.S.-supplied HIMARS rockets into the Taiwan Strait for the first time, part of anti-invasion drills aimed at likely landing areas on the west coast. AI & Security Policy: The Cabinet proposed tougher DUI penalties tied to “zombie vapes,” while Taiwan is also weighing stricter measures on AI chip exports to China to align with U.S. policy. Economy & Business: MoneyHero said it will release Q1 2026 results on June 24. Tech/Industry Watch: Sunplus reported May 2026 net sales of NT$724.4 million, up 28.67% year-on-year. Culture & Sports: K-pop giant BIGBANG announced a 31-show 20th-anniversary world stadium tour, and Alas Pilipinas was eliminated from the AVC Women’s Cup after a sweep by Chinese Taipei.