Welcome to Taiwan Tariff News and Tracker, your essential update on how U.S. trade policies are reshaping Taiwan's economy under President Trump's second term.
In 2025, Trump's aggressive tariff strategy dramatically altered global trade, with the average U.S. applied tariff rate surging from 2.5% in January to an estimated 27% by April, the highest in over a century, according to Wikipedia's detailed timeline of tariffs in the second Trump administration. For Taiwan, the spotlight intensified on April 2, Trump's so-called Liberation Day, when he announced a 32% reciprocal tariff, excluding semiconductors—Taiwan's powerhouse export—citing the island's dominance in chips and insufficient defense spending. Taiwan responded without retaliation, offering to boost U.S. imports and scrap its own tariffs, a move criticized by the Kuomintang as a setback for President Lai Ching-te's U.S.-reliant China strategy.
By August 1, Trump adjusted to a 20% tariff on Taiwan, effective August 7, layered atop existing Most-Favored-Nation rates per industry, as noted in the administration's reciprocal tariff tables. The American Chamber of Commerce in Taiwan urged cancellation on June 10, amid broader market chaos including the April stock crash triggered by these hikes. Daily Herald reports U.S. imports from Taiwan grew year-to-date despite 47.5% duties on China pushing supply chains toward the island, Mexico, and Vietnam.
As 2025 closes, Yale Budget Lab data shows the effective U.S. tariff rate at nearly 17% in November—seven times January's level and the highest since 1935. Al Jazeera English highlights a fragile U.S.-China truce after tariffs peaked over 100%, with Taiwan navigating this storm as a key player in semiconductors and rare earth dependencies. Fortune suggests an affordability crisis could prompt 2026 cuts if Trump secures factory commitments.
Listeners, stay ahead of these shifts impacting Taiwan's exports and U.S. alliances. Thank you for tuning in—subscribe now for weekly updates. This has been a Quiet Please production, for more check out quietplease.ai.
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