Taiwan President to Discuss U.S. Tariffs and Trade Relations Amid Global Trade War Concerns

Taiwan President to Discuss Possible New U.S. Tariffs

Taiwan President Lai Ching-te will convene a meeting of the National Security Council on Friday to address potential new U.S. tariffs and broader relations with the United States. This comes in response to U.S. President Donald Trump's recent directive to his economics team to develop plans for reciprocal tariffs on all countries taxing U.S. imports.

The National Security Council, composed of senior ministers and officials, is convened to discuss critical issues. The potential for a global trade war with both allies and adversaries has escalated due to Trump's actions.

Trump has specifically threatened tariffs on imported semiconductors, which could significantly impact Taiwan's economy. The island plays a major role in producing chips used in various products, from cars to AI servers.

During a White House press conference, Trump expressed his desire to restore U.S. manufacturing of semiconductor chips. He criticized the current reliance on Taiwan for chip production, stating, "We have to have chips made in this country. Right now, everything's made in Taiwan practically, almost all of it. A little bit in South Korea."

Trump attributed the decline of U.S. chip manufacturing to companies moving production overseas. He stated, "Taiwan took our chip business away. We had Intel. We have these great companies that did so well and it was taken from us. And we want that business back. We want it back in the United States. And if they don't bring it back, we're not going to be very happy."

Taiwan is home to the world's largest contract chipmaker, TSMC, a major supplier to companies like Apple and Nvidia. Additionally, Taiwan maintains a significant trade surplus with the United States, which surged by 83% last year. The island's exports to the U.S. reached a record $111.4 billion, driven by demand for high-tech products like semiconductors.