Taiwan President Addresses US Tariff Tensions
Taiwanese President Lai Ching-te has characterized trade disputes with the United States as mere "frictions between friends," expressing optimism amid ongoing tariff negotiations. Despite the US initially imposing a 32% tariff on Taiwanese imports, later reduced to 10% for a 90-day negotiation period, Lai maintains a positive outlook.
Strategies to Defuse Effects of Tariffs
During a speech commemorating his first year as president, Lai emphasized Taiwan's strategies for mitigating the impact of US tariffs and China's military threats. He highlighted the long-standing cooperation between the US and Taiwan, suggesting that disagreements can be resolved through trust and dialogue.
Strengthening National Defense
Lai also reaffirmed Taiwan's commitment to strengthening its defense capabilities and collaborating with allies to deter aggression. He expressed openness to discussions with Beijing, provided mutual respect and dignity are maintained. Taiwan's economy, bolstered by significant semiconductor firms like TSMC, is actively attracting foreign investment, evidenced by Nvidia's recent announcement of a new office in Taipei and plans to build an AI supercomputer in collaboration with TSMC, Foxconn, and the Taiwanese government. Furthermore, TSMC has pledged a substantial $100 billion investment in the US.
Controversial Proposal
However, Lai's proposal to eliminate tariffs on US goods in exchange for reciprocal treatment has sparked protests from Taiwanese farmers.