TAIPEI (Taiwan News) — Taiwan pledged to support companies in Mexico and the US as Trump’s tariffs take effect on Tuesday.
Trump ordered 25% tariffs on Mexican and Canadian imports, which are expected to soon impact Taiwan and its domestic chip production, per Reuters. Over 300 Taiwanese companies operate factories in Mexico, including major tech firms such as Foxconn, Pegatron, Wistron, Quanta, Compal, and Inventec.
Beyond its factories in Mexico and Canada, Taiwan could also see a significant impact on its semiconductor industry. Trump has threatened sweeping tariffs on chips manufactured in Taiwan, raising fears of a broader hit to Taiwan’s exports.
Taiwan’s government said Sunday it will support companies in Mexico as they navigate the effects of the 25% tariffs. It pledged to help these firms “adjust their production lines and/or investment distributions accordingly.”
Additionally, Taiwan’s Ministry of Economic Affairs said Monday it would assist companies planning to relocate to the US by providing information on potential investment locations, local regulations, and business partnerships.
The ministry added that it would seek support from US state and local governments to create a “win-win” model for both Taiwanese businesses and American supply chains.
A White House fact sheet provided no further details about the tariffs, only stating that they would remain in place “until the crisis is alleviated.” Economists have warned that the tariffs could escalate into a new trade war, raising consumer prices, worsening inflation, and slowing global economic growth.
