Trump has accused Taiwan of taking the chip enterprise away from the US.
Taiwanese President Lai Ching-te on Friday pledged to strengthen communication with the U.S. authorities to handle President Donald Trump’s considerations in regards to the chip trade whereas additionally vowing to extend funding in the US.
Lai mentioned the self-governing island is prepared to collaborate with the US and its different democratic companions to develop “extra resilient and diversified semiconductor provide chains.”
Taiwan will introduce international semiconductor provide chain partnerships for democratic governments, he mentioned.
Taiwan is dwelling to the world’s largest contract chipmaker, TSMC, a significant provider to firms together with Apple and Nvidia, and is a key a part of the quickly creating synthetic intelligence (AI) trade.
“Leveraging our strengths in cutting-edge semiconductors, we’ll type a world alliance for the AI chip trade and set up democratic provide chains for industries linked to high-end chips,” Lai mentioned. “By means of worldwide cooperation, we’ll open up a wholly new period of progress within the semiconductor trade.”
The Taiwanese chief additionally pledged to broaden funding and procurement in the US, noting that over the previous two years, investments in the US have accounted for greater than 40 p.c of Taiwan’s whole international funding, far surpassing its investments in China.
Taiwan may even enhance cooperation with the US in tech improvement and manufacturing for AI and superior semiconductors, Lai mentioned.
He added that Taiwan’s authorities will “proceed to speak and negotiate carefully” with the U.S. authorities.
Trump Says Taiwan ‘Took Our Chip Enterprise Away’
Trump spoke to reporters on the White Home on Thursday after signing a presidential memorandum ordering reciprocal tariffs on all U.S. buying and selling companions to “right longstanding imbalances in worldwide commerce and guarantee equity throughout the board.”
The president signaled out Taiwan, telling reporters: “Proper now, all the things is made in Taiwan virtually, nearly all of it … and we wish these firms to return to our nation.”
He mentioned Taiwan “took our chip enterprise away,” and pointed to the U.S. semiconductor manufacturing large, Intel.
“We had Intel, we had these nice firms that did so properly, and it was taken from us and we wish that enterprise again,” Trump mentioned. “We wish it again in the US, and in the event that they don’t carry it again, we’re not going to be very joyful.”
Trump advised Home Republicans in January that his administration would impose tariffs of as much as one hundred pc on imported semiconductors, pc chips, and prescribed drugs in “the very close to future” as a part of efforts to carry manufacturing again dwelling.
Talking from the White Home on Thursday, Trump defended his tariff plans, telling reporters that whereas it could drive costs up brief time period, finally, these costs will come again down. He added that the tariffs may even result in elevated job alternatives in the US.
The Related Press and Reuters contributed to this report.