TAIPEI (Taiwan News) — US Commerce Secretary Howard Lutnick on Wednesday indicated that technical training for American workers will be included in a new tariff deal with Taiwan.
In a CNBC interview, Lutnick said that TSMC's additional NT$3.1 trillion (US$100 billion) commitment brings its combined US investment to NT$5.07 trillion, per CNA. He said that increased investments by Micron Technology and Texas Instruments have pushed overall US chipmaker investment to roughly NT$9.39 trillion.
Lutnick said, “I think that when we do a deal with Taiwan, that's even going to be bigger.” He added, “Of course, they are going to train American workers."
“The whole objective is to bring the supply chains to America, build semiconductors in America, build pharmaceuticals in America, train Americans to do it,” said Lutnick.
Lutnick’s comments appear to align with an earlier Reuters report that said the agreement could include additional Taiwanese investment and support for training US semiconductor engineers. The report also quoted sources as saying that any provisions could still change before a final deal is reached.
On Monday, Chief Trade Negotiator Yang Chen-ni (楊珍妮) told lawmakers that Taiwan has not agreed to train US technical personnel and that such a requirement is not part of the talks. She added that details remain under negotiation and cannot yet be disclosed.
Yang said reports linking worker training to tariff reductions are inaccurate and that the matter has not been discussed. She also said the likelihood of securing tariff cuts without stacking additional duties is “very high.”
Economic Minister Kung Ming-hsin (龔明鑫) said that when companies build facilities in the US, those factories cannot operate without a workforce. Using TSMC as an example. He pointed out that companies already have their own capacity-building programs.
At the end of July, the US lowered Taiwan’s tariff rate from the 32% imposed on April 2 to 20%. The rate must still be added to existing Most Favored Nation (MFN) tariffs, as well as any anti-dumping or countervailing duties.
The Cabinet's Office of Trade Negotiations said on Monday that Taiwan’s negotiating team is currently using a “Taiwan model” in supply-chain discussions with the US. It said it is seeking tariff cuts without stacking MFN rates, along with the most favorable terms possible under Section 232.
