TAIPEI (Taiwan News) — Taiwan should not expect special treatment from the United States regarding its new tariffs, the head of a leading economic think tank said Saturday.
Chung-Hua Institution for Economic Research President Lien Hsien-ming (連賢明) said Taiwan should also avoid retaliatory measures in response to the Trump administration’s 32% tariff on Taiwanese imports, which is expected to take effect on April 9, per CNA. He added that Taiwan should strive to seek fair competition for the whole region instead of resisting the US measures.
While Lien acknowledged the tariff was unfair, he said its primary goal was to force negotiations. Taiwan could voice its displeasure, he said, but should avoid taking retaliatory steps like those seen from China. In particular, restricting semiconductor exports would be an even worse approach, he warned.
Instead, Taiwan should look at reforming areas that have long been concerns for the US—such as agriculture, the opening of the services sector, and lowering barriers to car imports. Lien said these reforms would not only improve bilateral trade relations but also support Taiwan’s bid to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
Lien noted that under World Trade Organization rules, roughly 75% of Taiwan’s exports to the US should be exempt from tariffs under the Information Technology Agreement, which eliminates import duties on many electronics products.
He added that Taiwan should work to maintain its competitive edge and ensure it receives tariff treatment comparable to that of key regional competitors like Japan and South Korea.