TAIPEI (Taiwan News) — Taiwan Semiconductor Industry Association Chair Hou Tung-ching (侯永清) said Friday that Taiwan’s chip industry can overcome US tariffs.

Speaking at a TSIA meeting, Hou said global uncertainties will affect the semiconductor ecosystem, per CNA. Since each company has different investment timelines and R&D strategies, there is no one-size-fits-all approach to tackling these issues.

However, Hou said these new challenges bring new opportunities. Taiwan can attract foreign semiconductor firms to develop locally, making it the most efficient hub for rapid R&D and production.

Regardless of geopolitical shifts, Taiwan’s semiconductor competitiveness remains stronger than others with its comprehensive supply chain and strong leadership, he outlined.

Hou said that Taiwan’s semiconductor industry delivered impressive results last year, with a NT$5.3 trillion (US$159.87 billion) output value, marking a 22% growth year-on-year. Taiwan ranked first globally in packaging and testing, as well as wafer fabrication, while being second in design.

He projected that this year, the industry’s output value could reach NT$6.2 trillion, reflecting a 16.2% growth.

Hou said the association will continue to facilitate communication between the semiconductor industry and government. He called for government support to safeguard Taiwan’s international competitiveness.