If a war were to break out in Taiwan, more than 40% of the global trade will be disrupted, which would bear terrible repercussions on the whole world, Taiwanese Foreign Minister Joseph Wu claimed on Sunday.

"Most of the countries are sure that this [escalation] will not happen as it would be a disaster not only for Taiwan but for China and the entire world. Economic consequences would be massive," the top diplomat said.

"Look at Taiwan's location — over 40% of goods delivered across the world are shipped through the [Taiwan] strait," he added.

The Taiwanese Foreign Minister highlighted during an interview with the Spanish ABC newspaper that the island is responsible for the production of offer 60% of the world's chips and 90% of the most advanced semiconductors.

"In the event of an escalation around the island, a Third World War could break out," Wu stressed.

This comes amid a period of tension with China heightened by a meeting between Taiwanese President Tsai Ing-wen Tsai and US House Speaker Kevin McCarthy, during a stopover by the Taiwan leader in the United States.

McCarthy was planning on visiting Taipei himself rather than receiving Tsai in California. But the decision to change the plan came to allegedly avoid escalation with China.

Tsai, who was on an official visit to Latin America, made two stopovers in the US during which she met with house speaker McCarthy and other legislators.

The meeting between the two saw China announcing military drills near the Island.

Wu had warned earlier in the month that Taipei was preparing for a conflict with China in 2027.

"We are taking the Chinese military threat very seriously," Joseph Wu said on LBC's Tonight with Andrew Marr. I believe that 2027 is the year in which we must be serious."

US intelligence alleges that Chinese President Xi Jinping has ordered the country's military to be ready to "annex" Taiwan by 2027, while China's President has been emphasizing that the Taiwan issue "cannot be passed on from generation to generation" since being elected in 2012.

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Other US officials believe a conflict will occur sooner rather than later. Gen Mike Minihan, a former deputy commander of the US Indo-Pacific Command, stated in January that his "gut" told him to expect a conflict in 2025.

The Taiwanese FM’s comments indicate the extent to which Taiwan plans to bolster support from the West ahead of a so-called invasion. 

In particular, Wu stressed the extent to which the UK – and the rest of the world – is dependent on the semiconductors produced in Taiwan, which makes more than 90% of the most advanced computer chips.