Taipei, Jan 28 (Reuters) - The Taiwan economy ministry stated on Tuesday that the semiconductor trade relationship between Taiwan and the United States is mutually beneficial due to their high level of complementarity.
Taiwan, home to the world's largest contract chipmaker, Taiwan Semiconductor Manufacturing Co. (TSMC), plays a crucial role in the global technology supply chain for companies like Apple and Nvidia.
President Donald Trump announced plans on Monday to impose tariffs on imported chips, pharmaceuticals, and steel to encourage domestic production in the United States.
The Taiwan economy ministry emphasized the synergistic nature of the relationship, stating, Taiwan and the U.S. semiconductor and other technology industries are highly complementary, particularly with the U.S.-designed, Taiwan-foundry model, creating a mutually beneficial business dynamic.
The ministry affirmed its commitment to monitor U.S. policy closely and collaborate with U.S. counterparts to promote the development of both countries' industries and national interests amidst global challenges.
In 2020, TSMC committed to constructing a $12 billion factory in Arizona, aligning with U.S. efforts to diversify tech supply chains away from China, with total investment now reaching $65 billion.
Regarding Trump's tariff proposal, TSMC opted not to provide a comment.
Despite potential challenges, Taiwan's Economy Minister Kuo Jyh-huei expressed confidence in the resilient position of semiconductor exports due to their technological advantage.
Additionally, Trump's directive for a probe into trade imbalances and alleged currency manipulation poses another possible obstacle for Taiwan. The trade surplus with the U.S. surged by 83% in the past year, reaching a record high of $111.4 billion, driven by exports of high-tech goods like semiconductors.