Taiwan Faces New US Tariff Threats Under Trump 2.0 Trade Strategy Amid Section 301 Probes
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About this listen
The Trade Compliance Resource Hub's Trump 2.0 Tariff Tracker reports that a blanket 10% Section 122 tariff on all countries, including Taiwan, took effect February 24, 2026, but expires July 24 unless extended. A rate hike to 15% was threatened February 21. Taiwan secured a brighter spot earlier: Yieh Corporation notes that on February 12, Taiwan and the US signed the Agreement on Reciprocal Trade, establishing a 15% reciprocal tariff framework aimed at lowering barriers in key sectors.
Yet, tensions simmer. CNA's Asia Now interview with trade expert Deborah Elms on March 13 reveals the US Trade Representative launched Section 301 probes into 60 economies, including potential Taiwan involvement, for failures to combat forced labor in supply chains. A parallel probe targets excess industrial capacity in 16 partners. These could yield fresh tariffs by July, when temporary duties lapse, as the Supreme Court struck down broader global levies last month. Elms warns this rebuilds Trump's "wall" of protectionism, possibly stacking new duties without easy legal reversal.
For Taiwan, stakes are high. NTD's China in Focus on March 13 highlights how these China-focused probes—covering industrial overcapacity and forced labor—could ripple into semiconductor and manufacturing supply chains vital to the island. Amid US-China talks, Taiwan's reciprocal deal offers leverage, but experts like Elms caution trade pacts may not shield against Section 301 actions.
Listeners, stay vigilant: these developments could reshape Taiwan's exports to the US, from tech to autos now under 25% duties in some cases per the tracker. We'll track every twist.
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