Taiwan is seizing the opportunity to strengthen economic ties with the United States following U.S. President Donald Trump’s unexpected 90-day pause on most tariffs. This move temporarily lifts pressure from a hefty 32% tariff that had been set to impact Taiwan, excluding its crucial semiconductor sector.
In a statement to reporters at Taiwan's parliament, Foreign Minister Lin Chia-lung emphasized the importance of this window for deepening U.S.-Taiwan trade cooperation. “With an additional 90 days, we can pursue more detailed discussions on economic and trade collaboration,” he said. Lin highlighted Taiwan’s aim to leverage the U.S. market’s size, innovation, and talent to build a strategic alliance and reduce its trade surplus with Washington.
The surprise announcement from Trump boosted global markets, including Taiwan’s benchmark index, which surged over 9% after three days of steep losses. The pause, however, comes with continued pressure on China and is part of Trump’s broader strategy to reshape global trade dynamics.
President Lai Ching-te reaffirmed Taiwan’s commitment to a non-retaliatory stance, pledging to push for a zero-tariff regime with the U.S., its most significant international ally. Taiwan also plans to increase purchases from and investments in the U.S. as part of its effort to maintain balanced trade relations.
Despite the market rally, Taiwan Central Bank Governor Yang Chin-long warned that uncertainty still looms over the stock market due to Trump’s tariff strategy.
As Taiwan navigates this temporary reprieve, it remains focused on fostering a stable, mutually beneficial economic partnership with the U.S., hoping to turn this short-term relief into long-term opportunity.