Taiwan Aims for Zero Tariffs in U.S. Trade Talks

Taiwan's President Lai Ching-te seeks zero tariffs as the basis for trade talks with the U.S., promising to eliminate trade barriers and increase investments. The U.S.'s recent import tariffs, excluding semiconductors, pose a challenge, but Taiwan plans to deepen industrial cooperation and make strategic purchases.

Taiwan's President, Lai Ching-te, announced on Sunday a push for zero tariffs in trade negotiations with the United States, offering to dismantle trade barriers instead of imposing retaliatory measures. The initiative comes as a response to U.S. President Donald Trump's recent announcement of broad import tariffs, significantly affecting Taiwan due to its trade surplus with the U.S.

Despite the challenges posed by Trump's import duties, semiconductors—one of Taiwan's major exports—remain exempt. President Lai, addressing small and medium-sized business executives, indicated that while Taiwan's economy might struggle with these tariffs, proactive measures could mitigate the impact. He suggested starting tariff discussions with a 'zero tariffs' framework, parallel to the U.S.-Canada-Mexico trade agreement.

Taiwan's commitment remains firm, with no plans for tariff retaliation. Instead, Taiwan's TSMC, a leading chipmaker, plans to invest an additional $100 billion in the U.S. Lai also highlighted other sectors such as electronics and petrochemicals preparing to expand their U.S. investments. Despite increased military pressure from China, Taiwan seeks to bolster U.S. ties through strategic agricultural, industrial, and defense purchases.

(With inputs from agencies.)