Trump Warns Taiwan's Chipmakers of Broad Tariffs
The White House aims to introduce tariffs on pharmaceuticals and steel as part of an effort to encourage production to return to the US. Read Full Article at RT.com
TroibNews 
The White House is set to implement tariffs on pharmaceuticals and steel as part of an initiative to encourage production to return to the United States.
US President Donald Trump announced his intention to impose tariffs as high as 100% on imported chips and semiconductors from foreign suppliers, including those in Taiwan. He has also pledged significant tariffs on pharmaceuticals and steel to incentivize manufacturers to relocate their production to the US.
During a speech to Republican Party members on Monday, Trump indicated that these tariffs would be enacted “in the very near future” to “return production of these essential goods to the United States of America.”
He pointed out that the production of computer chips and semiconductors “left us and went to Taiwan, which is about 98% of the chip business, by the way.”
Moreover, he criticized the financial aid offered by the Biden administration, stating, “And we want them to come back, and we don’t want to give them billions of dollars, like this ridiculous program that Biden has.”
Trump's comments come as a response to former President Joe Biden’s initiative, which allocated subsidies for chip manufacturers such as Intel to encourage domestic production. Biden’s CHIPS and Science Act, enacted in 2022, designated $53 billion in subsidies aimed at enhancing US competitiveness and addressing challenges posed by China.
These statements are part of a series of recent trade threats by Trump. He has also announced plans to impose 25% tariffs on imports from Canada and Mexico unless both countries meet US demands relating to border security and drug trafficking.
In reaction to Trump’s tariff threats, Taiwan’s Economy Ministry highlighted that the semiconductor trade with the US is mutually beneficial, calling it a “win-win” model.
Taiwan is home to the largest contract chipmaker in the world, Taiwan Semiconductor Manufacturing Co. (TSMC), making it a critical component of the global technology supply chain.
The Taiwanese Economy Ministry remarked, “Taiwan and the US semiconductor and other technology industries are highly complementary to each other, especially the US-designed, Taiwan-foundry model, which creates a win-win business model for Taiwan and US industries,” as quoted by Reuters.
TSMC serves major US clients, including Nvidia and Apple. According to Reuters estimates, North American customers represented 70% of TSMC's total revenue in 2024. Beijing views self-governing Taiwan as part of its territory under its ‘One China’ principle and objects to any foreign interference.
Even as the US maintains its official adherence to the ‘One-China’ policy, it continues to provide arms to Taiwan and engage in military cooperation with the government in Taipei.
Frederick R Cook contributed to this report for TROIB News
US President Donald Trump announced his intention to impose tariffs as high as 100% on imported chips and semiconductors from foreign suppliers, including those in Taiwan. He has also pledged significant tariffs on pharmaceuticals and steel to incentivize manufacturers to relocate their production to the US.
During a speech to Republican Party members on Monday, Trump indicated that these tariffs would be enacted “in the very near future” to “return production of these essential goods to the United States of America.”
He pointed out that the production of computer chips and semiconductors “left us and went to Taiwan, which is about 98% of the chip business, by the way.”
Moreover, he criticized the financial aid offered by the Biden administration, stating, “And we want them to come back, and we don’t want to give them billions of dollars, like this ridiculous program that Biden has.”
Trump's comments come as a response to former President Joe Biden’s initiative, which allocated subsidies for chip manufacturers such as Intel to encourage domestic production. Biden’s CHIPS and Science Act, enacted in 2022, designated $53 billion in subsidies aimed at enhancing US competitiveness and addressing challenges posed by China.
These statements are part of a series of recent trade threats by Trump. He has also announced plans to impose 25% tariffs on imports from Canada and Mexico unless both countries meet US demands relating to border security and drug trafficking.
In reaction to Trump’s tariff threats, Taiwan’s Economy Ministry highlighted that the semiconductor trade with the US is mutually beneficial, calling it a “win-win” model.
Taiwan is home to the largest contract chipmaker in the world, Taiwan Semiconductor Manufacturing Co. (TSMC), making it a critical component of the global technology supply chain.
The Taiwanese Economy Ministry remarked, “Taiwan and the US semiconductor and other technology industries are highly complementary to each other, especially the US-designed, Taiwan-foundry model, which creates a win-win business model for Taiwan and US industries,” as quoted by Reuters.
TSMC serves major US clients, including Nvidia and Apple. According to Reuters estimates, North American customers represented 70% of TSMC's total revenue in 2024. Beijing views self-governing Taiwan as part of its territory under its ‘One China’ principle and objects to any foreign interference.
Even as the US maintains its official adherence to the ‘One-China’ policy, it continues to provide arms to Taiwan and engage in military cooperation with the government in Taipei.
Frederick R Cook contributed to this report for TROIB News
