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Taiwan Tariff News and Tracker

Taiwan Tariff News and Tracker

By: Quiet. Please
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 This is your Taiwan Tariff Tracker podcast.

Discover the latest updates and insights with "Taiwan Tariff Tracker," your go-to daily podcast for all things related to the tariffs imposed on Taiwan by the Trump administration and current U.S. policies. Stay informed with expert analyses, in-depth discussions, and breaking news that impact the Taiwanese economy and global trade dynamics. Whether you're an industry professional, a policymaker, or simply curious about international trade, "Taiwan Tariff Tracker" delivers the reliable information you need to understand this complex issue. Tune in every day for comprehensive coverage and thoughtful perspectives on how these tariffs shape the economic landscape.

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Episodes
  • US Imposes Massive 32 Percent Tariff on Taiwan Imports Threatening Bilateral Trade and Economic Stability

    US Imposes Massive 32 Percent Tariff on Taiwan Imports Threatening Bilateral Trade and Economic Stability
    Jun 1 2025
    Listeners, welcome to Taiwan Tariff News and Tracker. As of June 1st, 2025, the trade landscape between the United States and Taiwan is facing historic turbulence driven by dramatic tariff policy shifts under the Trump administration.

    Just weeks ago, President Trump announced a 32 percent tariff on nearly all imports from Taiwan, marking one of the steepest hikes imposed on a U.S. ally in recent memory. This move sent shockwaves through Taiwan’s government and business communities, as the Executive Yuan swiftly condemned the tariff as unfair and lacking transparency. According to trade figures from Taiwan’s Ministry of Economic Affairs, about a quarter of Taiwan’s total exports go to the United States, making it the island’s largest trading partner. The affected goods range from industrial machinery, networking equipment, and auto parts to plastics, rubber, and hardware. Many of these industries are driven by small and medium-sized enterprises, with an estimated NT$1.3 trillion in annual export value at risk. Taiwan exports more than $140 billion in goods to the U.S. annually, with semiconductors and electronics making up a significant portion of that figure.

    The Trump administration’s strategy appears clear: use tariffs as leverage to force new bilateral trade negotiations. Just days after the 32 percent rate was announced, it was temporarily reduced to 10 percent for 90 days, giving both sides breathing room to negotiate. Computers, cell phones, and semiconductors were granted a temporary exemption, allowing some relief to Taiwan’s all-important tech sector. However, U.S. officials have repeatedly emphasized that these exemptions are short-lived and may be replaced by sector-specific tariffs as soon as July.

    The economic fallout has already rippled through financial markets. Taiwan’s stock exchange has posted significant losses, and Taiwan’s leading economic think tank, the Chung-Hua Institution for Economic Research, warned that the island’s economic growth could slow to just 1.66 percent this year if tariff uncertainty continues. For context, previous years saw growth rates well above 2 percent, underscoring the immediate impact on Taiwan’s economic outlook.

    Taiwanese President William Lai has responded in international media, notably in Bloomberg Opinion, outlining a vision for deeper, fairer trade ties with Washington. However, as noted by analysts from the Global Taiwan Institute and Taiwan Insight, Taiwanese negotiators are facing an uphill battle. Trump’s policy of “America First” means Taiwan is being pressured to make significant concessions, even as it is one of the United States’ closest economic and strategic partners in Asia.

    With just weeks left before the temporary 10 percent rate could snap back up to 32 percent, all eyes are on the negotiating tables in Washington and Taipei. The outcome will not only shape the future of Taiwan-U.S. trade but also set the tone for America’s economic approach to Asia in the coming years.

    Thanks for tuning in to Taiwan Tariff News and Tracker. Don’t forget to subscribe to stay updated on the latest developments. This has been a quiet please production, for more check out quiet please dot ai.

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    3 mins
  • Taiwan Boosts US Purchases to Counter Tariffs, Aims to Protect Export Economy and Strengthen Bilateral Trade Relations

    Taiwan Boosts US Purchases to Counter Tariffs, Aims to Protect Export Economy and Strengthen Bilateral Trade Relations
    May 29 2025
    Welcome to Taiwan Tariff News and Tracker, your go-to source for the latest developments in US-Taiwan trade relations.

    In today's update, Taiwan continues to navigate the challenging tariff landscape imposed by the Trump administration earlier this spring. Since April, Taiwanese exports to the United States have been subject to a 32% tariff, though this was temporarily reduced to 10% for a 90-day negotiation period.

    Just yesterday, Taiwanese President Lai Ching-te announced that his country will increase purchases of American goods, including energy resources such as natural gas and petroleum, agricultural products, industrial products, and even military procurement. This move comes as a direct response to the tariff pressure from the Trump administration.

    "This will not only help balance our bilateral trade, but also strengthen development for Taiwan in energy autonomy, resilience, the economy, and trade," President Lai stated while hosting a US congressional delegation.

    The economic stakes are significant for Taiwan, as the US market accounts for approximately 25.7% of total Taiwanese exports, making it the island's largest export destination. Most exports are industrial non-semiconductor products such as servers, network equipment, machinery, auto parts, and hardware.

    Economic forecasts from the Chung-Hua Institution for Economic Research suggest Taiwan's economic growth could be limited to just 1.66% this year due to these tariff concerns. Under an optimistic scenario where tariffs remain at 10%, growth could reach 2.85%, but in a worst-case scenario, it could plummet to a mere 0.16%.

    The tariff situation remains fluid as negotiations continue. Taiwan's Executive Yuan previously criticized the high tariff rate as unfair, with Cabinet spokesperson Michelle Lee questioning the unclear methodology behind the tariffs.

    Meanwhile, other East Asian countries are facing similar pressures, with Japan and South Korea facing tariffs of 24% and 25% respectively, while several Southeast Asian countries have been hit with tariffs ranging from 32% to 49%.

    For Taiwan's small-to-medium-sized enterprises, which make up a significant portion of the country's export sector, these tariffs pose a substantial threat to competitiveness and profitability in the crucial US market.

    Thank you for tuning in to Taiwan Tariff News and Tracker. Be sure to subscribe for our regular updates on this developing situation. This has been a quiet please production, for more check out quiet please dot ai.

    For more check out https://www.quietperiodplease.com/

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    3 mins
  • US Slaps 32 Percent Tariffs on Taiwan Exports Amid Trade Tensions Sparking Economic Uncertainty and Negotiations

    US Slaps 32 Percent Tariffs on Taiwan Exports Amid Trade Tensions Sparking Economic Uncertainty and Negotiations
    May 25 2025
    Welcome to Taiwan Tariff News and Tracker. Today is May 25, 2025, and the US-Taiwan trade relationship is facing one of its most turbulent years in decades due to new tariff measures from the Trump administration.

    In early April, President Trump announced a sweeping 32 percent tariff on all imports from Taiwan, a move that immediately triggered shockwaves through Taiwan’s government and industries. Taiwan’s Executive Yuan quickly labeled the tariff rate as unfair and questioned the US administration’s opaque methodology, highlighting the robust export growth and US demand for Taiwan’s semiconductors and AI products. According to Taiwan’s Ministry of Economic Affairs, as of March, the US market now accounts for more than a quarter of all Taiwanese exports, making America Taiwan’s largest export destination. Critical sectors affected range from servers and network equipment, machinery, and auto parts, to petrochemicals and plastics. Many of these are small-to-medium-sized manufacturers, whose lifeblood is exports to the United States. Some electronic products and telecom equipment that were previously protected under the WTO’s Information Technology Agreement are now subject to at least a 10 percent tariff, throwing as much as NT$1.5 trillion in output into uncertainty.

    Following the initial uproar, the Trump administration reduced the tariff to 10 percent for a 90-day period, which will end on July 9, 2025, to allow for trade negotiations. However, the threat of reinstating the 32 percent rate or even targeting semiconductors with new duties looms large. As reported by Taiwan Insight, the US rationale is “reciprocal tariffs,” targeting countries like Taiwan that have large trade surpluses with the United States. Last year, Taiwan’s trade surplus with the US reached $73.9 billion, the sixth largest globally, and that made Taipei a target.

    There’s major concern in Taiwan’s economic forecasting circles. The Chung-Hua Institution for Economic Research now predicts that Taiwan’s GDP growth may drop to just 1.66 percent this year if the tariffs rise beyond the temporary 10 percent. Under a more optimistic scenario where tariffs remain at 10 percent, growth could approach 2.85 percent. But if global conditions deteriorate, growth could all but stall. Businesses are in wait-and-see mode, and trade negotiators in Taipei are bracing for tough conversations with Washington. Some experts believe Taiwan may be fortunate if it can negotiate the rate down to 15-20 percent, given Trump’s ‘America First’ objectives and the desire to bring manufacturing jobs back to US soil.

    In the meantime, talks are ongoing, and Taiwan’s President William Lai has publicly pushed for a fairer deal, laying out proposals for deeper trade ties in international media. There are ongoing exemptions for semiconductors and some electronics, but their future remains uncertain. The new tariff landscape is already sending ripples through global markets and Taiwan’s stock exchange, raising the stakes for both sides.

    That’s the latest for today’s Taiwan Tariff News and Tracker. Thank you for tuning in, and don’t forget to subscribe so you never miss an update. This has been a quiet please production, for more check out quiet please dot ai.

    For more check out https://www.quietperiodplease.com/

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    4 mins

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