Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
The Israeli occupation targets Deir Keefa in South Lebanon with 2 surface-to-surface missiles
Philippe Lazzarini: The famine in Gaza is a direct result of banning food and other basic supplies for months including from UNRWA .
Philippe Lazzarini: The spread of famine can still be controlled by a ceasefire and allowing humanitarian organizations to do their work and reach starving people with aid.
The United Nations on the Israeli-induced famine in Gaza: The starvation of civilians for military objectives is a war crime.
UNRWA Commissioner-General Philippe Lazzarini: famine is now confirmed in Gaza city. This is starvation by design and manmade by the Government of Israel.
More than 30 people have been martyred in Gaza since Friday dawn in Israeli bombardment targeting refugee camps throughout the blockaded strip.
Al Mayadeen correspondent: The Israeli occupation forces are carrying out demolitions of residential buildings in Gaza's al-Tuffah neighborhood amid intensifying airstrikes.
Israeli media: A man is critically wounded from a shooting near Malachi Hashalom between Ramallah and Nablus, and ambulance crews are on their way to the scene.
Al Mayadeen correspondent: One person was martyred in an Israeli airstrike that targeted a motorcycle in southern Lebanon's Deir Saryan.
Al Mayadeen's correspondent to Southern Lebanon: An Israeli drone strike on a motorcycle in the town of Deir Saryan left one civilian injured

Trump slaps 20% tariff on Taiwanese goods

  • By Al Mayadeen English
  • Source: Agencies + Al Mayadeen English
  • 1 Aug 2025 22:22
4 Min Read

Taiwan faces 20% US tariffs as Trump escalates trade war despite semiconductor dependence.

Listen
  • x
  • Taiwan tariffs
    Taiwanese President Lai Ching-te waves after an offshore anti-terrorism drill at the Kaohsiung harbor in Kaohsiung, southern Taiwan, June 8, 2025 (AP Photo/Chiang Ying-ying, File)

The Trump administration has imposed a 20% tariff on Taiwanese goods effective next week. Although this rate is lower than the initially threatened 32%, it still places Taiwan at a disadvantage compared to regional competitors like Japan and South Korea, who secured 15% rates. Taiwan's leadership has described the tariff as "temporary" and remains optimistic about ongoing negotiations.

US-Taiwan economic ties

US-Taiwan economic ties are among the most strategically significant in the Asia-Pacific region. Taiwan ranked as the 7th largest US trading partner in 2024, with bilateral trade hitting $158.6 billion, a 24.2% increase from the previous year. Taiwan's position has surpassed several G20 countries, including France, India, Brazil, and Australia.

Despite this growth, the trade relationship is marked by a large imbalance. The US ran its 6th largest trade deficit with Taiwan in 2024, totaling $73.9 billion, a 54.6% increase from 2023. US exports to Taiwan rose 6.0% to $42.3 billion, while imports surged 32.5% to $116.3 billion.

Taiwan also tightened export controls on Chinese firms, adding Huawei and SMIC to its trade blacklist in June 2025. This aligns with US technology containment strategies and highlights Taiwan’s strategic positioning.

Taiwan's prized semiconductors

Related News

Taiwan plans to boost defense spending above 3% of GDP

US Navy drone fleet faces failures in tests to counter China

Taiwan's economic leverage largely stems from its semiconductor industry, which produces nearly 90% of the world's most advanced chips. These are indispensable to major US firms such as Apple, Nvidia,  AMD, Broadcom, and Qualcomm. In 2024, information and communications technology (ICT) products formed the bulk of Taiwan's exports to the US, with automatic data processing equipment and components valued at $51.5 billion, a 140.3% increase.

From liberation day to 20% duties

US President Donald Trump threatened a 32% tariff on Taiwanese goods back in April. The policy was enacted under the International Emergency Economic Powers Act, citing persistent trade deficits as a threat to US national security.

After negotiations, the tariff was reduced to 20% effective August 7, 2025. This rate aligns Taiwan with countries like Vietnam and Bangladesh, and remains higher than the 15% secured by Japan, South Korea, and the EU.

Crucially, semiconductors and other key technology products are undergoing a separate review under Section 232 for national security concerns, with decisions expected in the coming weeks.

Official responses

Taiwan President Lai Ching-te called the 20% rate "temporary" and stressed that negotiations are ongoing: "The 20% tariff rate was never Taiwan's target to begin with. We will continue negotiations and strive for a rate that's more favourable for Taiwan."

A US official echoed that talks are progressing and described Taiwan's proposals as "well received."

Political reactions

The opposition in Taiwan labeled the tariffs as a "heavy blow" to President Lai’s pro-US policy, criticizing the government for being unprepared.

Public sentiment has also shifted: between July 2024 and April 2025, trust in the US among Taiwanese citizens fell from 33% to 24%, while favorable views dropped from 54% to 34%.

Economic impact assessment

According to Yuanta Securities, the 20% tariff affects about 25% of Taiwan’s US-bound exports, particularly in machinery and plastics. The pending Section 232 decision on semiconductors is expected to have a larger impact, given the sector’s centrality to Taiwan’s economy.

Taiwan’s exports to the US accounted for 23.4% of its total exports in 2024. Meanwhile, the US sourced about 44.2% of its logic chip imports from Taiwan. Taiwanese firms have invested around $92 billion in the US, creating approximately 360,440 jobs. Taiwan was the largest foreign investor in the US in 2022, announcing over $30 billion in new projects.

  • Taiwan
  • Lai Ching-te
  • Taipei
  • Washington
  • Trump administration
  • trump tariffs
  • semiconductors
  • Unites

Most Read

Declassified: CIA’s covert Ukraine invasion plan

Declassified: CIA’s covert Ukraine invasion plan

  • Opinion
  • 16 Aug 2025
Displaced Palestinians walk through a makeshift camp along the beach in Gaza City, Sunday, Aug. 10, 2025 (AP)

Hamas, other factions accept Egypt-Qatar ceasefire proposal: Exclusive

  • Politics
  • 18 Aug 2025
Tom Artiom Alexandrovich, executive director of the defense division of the Israeli National Cyber Directorate, undated (Social media)

Israeli-born US prosecutor drops Israeli officer child sex crime

  • Politics
  • 19 Aug 2025
Those in Occupied Palestine, Lebanon, and Syria – directly affected by Israeli occupation and apartheid – can claim their right to armed struggle under a series of UN resolutions. (Al Mayadeen English; Illustrated by Zeinab el-Hajj)

Resistance and regime change in occupied Palestine

  • Opinion
  • 17 Aug 2025

Coverage

All
The Ummah's Martyrs

Read Next

All
Corbyn to Al Mayadeen: New Party to Fight for Justice and Palestine
Politics

Corbyn to Al Mayadeen: New party to fight for justice and Palestine

ap
Politics

Dutch FM Veldkamp resigns over Cabinet's block on 'Israel' sanctions

Launch of a ballistic missile from Yemen toward the occupied Palestinian territories. (YAF military media)
Politics

Yemeni Forces announce firing hypersonic missile at Al-Lydd Airport

A young boy waves his flag among others as people gather in central Sydney for a rally Sunday, Oct. 15, 2023, to support Palestinians in Gaza. (AP)
Politics

Gaza war shifts 'Israel'-Australia ties: Canberra recognizes Palestine

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS