TAIPEI (Taiwan News) — Taiwan’s Central Bank explained its trade surplus with the United States in the face of possible tariffs from the Trump administration. 

On April 2, the Trump administration said it would announce reciprocal tariffs on 15 countries with the highest trade surpluses with the US. Taiwan is among the 15 trading partners that account for most foreign trade with the US, per Reuters. 

According to the Central Bank, "It reflects the structural problem of the sharp increase in US demand for Taiwan's technological products and the expansion of our trade surplus with the United States.” Taiwan said the US understands this point and that it never intended to gain an unfair trade advantage. 

Taiwan’s trade surplus with the US reached a record high, jumping by 83% last year. Its exports to the US totaled NT$3.69 trillion (US$111.4 billion), largely driven by demand for semiconductors and technology. 

The Treasury Department had previously placed Taiwan on a foreign exchange "monitoring" list due to its trade surplus and outsized current account surplus. The trade imbalance makes Taiwan a target of tariffs by Trump, who criticized the US’ trade deficits with its partners.

In addition, the Central Bank voiced concerns about Trump's frequent trade policy reversals. It said, "The impact of the tariff increase policy is the most significant, which is detrimental to the growth of the global economy and may push up inflation.”