Strengthening India-Taiwan Ties: A New Era in Semiconductor and Technology Cooperation

Taiwan is looking to strengthen its economic engagement with India by proposing a free trade pact, particularly in the semiconductor sector. This collaboration aims to reduce India's import of electronic components from China and enhance joint production. Taiwanese companies see potential in India's young workforce and large market.

Taiwan is poised to help India reduce its dependency on Chinese electronics imports by proposing a free trade deal that could invigorate their semiconductor collaboration, as stated by Taiwanese deputy national security adviser Hsu Szu-Chien in an exclusive PTI interview.

Hsu emphasized that such a pact would lower tariffs, encourage Taiwanese investment in India's high-tech sectors, and capitalize on India's youthful demographic to produce advanced technology components. The bilateral trade relations have gained momentum recently, seeing joint interest in leveraging India's potential for manufacturing information and communication technology products.

With India facing a trade deficit with China, Taiwan's tech prowess could help shift electronic production closer to Indian soil, aligning with Taiwanese firms' strategies to diversify out of China amid geopolitical tensions. Both nations have conducted initial studies for a proposed free trade agreement, reflecting Taiwan's significant interest in enhancing bilateral economic cooperation.

(With inputs from agencies.)