Taiwan To Help Firms Threatened By Trump Tariffs On Chips, Semiconductors

Taiwan’s government will soon assess whether it needs to support its domestic semiconductor industry in response to threats by President Donald Trump to impose tariffs on chips, Premier Cho Jung-tai said, Reuters reported.

Taiwan plays a crucial role in the global technology supply chain for companies such as Apple and Nvidia. I Photo: Taiwan Semiconductor Manufacturing Corporation

Home to the world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing Co. (TSMC), Taiwan plays a crucial role in the global technology supply chain for companies such as Apple and Nvidia.

Trump recently announced plans to impose tariffs on imported chips, pharmaceuticals, and steel to encourage production within the U.S.

Responding to a question about Trump’s remarks, Cho stated that the economy ministry and other government agencies had been closely monitoring the "developments of the past few days," CNN also reported.

“In a day or two, we will urgently evaluate whether we need to introduce additional cooperative plans and assistance programs for the industrial sector,” he added.

In 2020, during Trump’s first term, TSMC announced plans to build a $12 billion factory in Arizona, a victory for U.S. efforts to shift tech supply chains away from China. The company later expanded its investment, with the total now reaching $65 billion.

Last week, Trump directed federal agencies to investigate persistent U.S. trade deficits, alleged unfair trade practices, and currency manipulation by other nations.

Taiwan’s trade surplus with the U.S. surged 83% last year compared to 2023, with exports reaching a record $111.4 billion, largely driven by demand for high-tech products such as semiconductors.