Semiconductor Diplomacy: Taiwan used SEMICON Taiwan 2026 to pitch itself as a democratic, reliable AI chip supplier, with President Lai and Economy Minister Kung highlighting resilience and rule of law while signaling willingness to share benefits with partners amid US pressure to expand manufacturing stateside. Markets & FX: Taiwan’s foreign exchange reserves rebounded to $601.9bn in August, topping $600bn again as the NT dollar strengthened and the central bank intervened to keep trading orderly. Cross-Strait Tech & Cities: Hsinchu selected NAVER’s LINE WORKS as its official collaboration tool, aiming to speed up smart-city and AI-driven public services. US-Iran Risk Watch: Escalating US-Iran tensions and talk of an “exclusion zone” around the Strait of Hormuz pushed oil higher and kept inflation worries in focus for Asian markets. Tourism Pressure Abroad: South Korea saw record tourist complaints in the first seven months, with issues like taxi driving, accommodation cancellation fees, and overcharging topping the list—while Busan-Taiwan flights keep surging. Taiwan-Japan Outreach: A Japan Innovation Party delegation is set to meet President Lai and senior officials to promote bilateral ties and Indo-Pacific cooperation. Local Culture: Tens of thousands serenaded Taipei’s Shilin mechanical elephant parade for its 100th global show, drawing about 50,000 on Sunday despite rain.