Taiwan Poised for US Tariff Talks: President Lai Signals Negotiations

President Lai Ching-te Announces Taiwan's Inclusion in Initial US Tariff Negotiations, Pledging Protection for Industries

Taichung, Taiwan - In a significant development for Taiwan's economic future, President Lai Ching-te (賴清德) announced on Friday that Taiwan has been included in the initial list of countries slated for tariff negotiations with the United States.

Speaking to representatives from the machinery industry in Taichung, President Lai confirmed Taiwan's participation in the upcoming talks, emphasizing the government's commitment to safeguarding national interests and supporting the growth of Taiwanese industries.

President Lai called for a unified front, urging collaboration between the public and private sectors, as well as across political parties, to navigate the potential impact of U.S. tariff policies. He expressed confidence in Taiwan's ability to overcome challenges and "turn crisis into opportunities" through collective efforts.

While specific details regarding the timing and participants of the negotiations remain undisclosed, the government has assured the public of regular updates. This announcement follows a series of meetings between President Lai and representatives from various sectors, including information and communications technology, non-tech industries, and small and medium-sized enterprises.

The meeting with machinery industry representatives, including Taiwan Association of Machinery Industry (TAMI) Chairman David Chuang (莊大立), took place behind closed doors after initial remarks. Chuang voiced concerns regarding the potential impact of tariffs, highlighting the importance of maintaining the global competitiveness of Taiwanese machinery exports to the U.S.

TAMI issued a statement advocating for government negotiations with the U.S. to secure a favorable tariff rate, ideally lower than that of its main competitors, Japan and South Korea. The association, representing over 2,700 member companies in Taiwan, also proposed "interest-free loans" to support businesses affected by the tariffs.

The backdrop to these discussions includes former President Trump's proposed "reciprocal tariffs," including a substantial 32 percent levy on many Taiwanese goods. Although a 90-day pause was announced, a reduced 10 percent duty is expected on all countries except China.

David Chuang (莊大立) indicated that machinery businesses would work with the government to combat transshipments and collaborate with American partners in manufacturing machine tools, reinforcing Taiwan's dedication to being a reliable partner.