No, that's what'd you'd do if you were the US because China is your rival. This is what you want from a foreign perspective.
If I was Taiwan, or in other words a shareholder or OWNER of TSMC, I wouldn't want something I own being destroyed. I would rather fold into the new regime and keep my original ownership.
If China has to eat the cost of the TSMC being destroyed, it’s probably less likely to invade. China in a large part depends on TSMC whether it “owns” Taiwan or not.
Yeah good point. I didn't realize what you meant. I thought you meant Taiwan should take a scorched earth policy, but you're really saying that Taiwan should advertise this policy as a defensive measure. Whether they carry it out is a different matter.