Warren Buffett blames China-US rivalry as he moves investments from Taiwan to Japan

From starting his first venture as a high-school student back in the 40s, to becoming the top investors across the globe, Warren Buffet has had his finger on the pulse of the economy for almost 80 years. He has lived through the cold war, has seen major geopolitical conflicts and survived multiple bloodbaths on Wall Street.

With decades of experience, the Oracle of Omaha at 92 is now betting on Japan instead of Taiwan, even though he says the latter has the best chipmaking industry.

Headwinds from geopolitical storm

Buffet's reason behind cutting stakes by 86 per cent in the Taiwan Semiconductor Manufacturing Company, is a rising threat that the island nation faces from China.

Calling for China and the US to tone down their rivalry at Berkshire Hathaway's annual meeting, Buffet lamented tensions months after investing $5 billion in TSMC in November 2022.

Wants rivals to grow together

Urging both global powers to not push too hard, Buffet also reiterated that both competitive markets can prosper simultaneously.

As the ace investor called for reciprocal kindness between China and the US, TSMC's stocks went up on Monday morning.

The annual meeting with shareholders held in Omaha, Nebraska, is often referred to as the Woodstock for capitalists, who flock to the event for updates and learning from Buffet and his partner Charlie Munger.