Taiwan Plans High-Tech Strategic Partnership Ahead US Investment Talks

Taiwan is actively considering a high-tech strategic partnership with the United States, focusing on expanding U.S. production capacity through a "Taiwan model" that encourages investment and joint ventures without relocating its core manufacturing base. Vice Premier Cheng Li-chiun leads the tariff negotiations aimed at reducing the 20% tariffs on Taiwanese exports while promoting increased Taiwanese investment in the U.S., supported by government measures such as export credit guarantees and industrial cluster development. The U.S. seeks stronger cooperation on supply chains, with Taiwanese firms like TSMC already investing heavily in U.S. semiconductor manufacturing, although most production will remain in Taiwan. Taiwan has also offered additional support to its companies investing in the U.S., including credit guarantees, while requesting U.S. assistance with land, visas, and regulatory improvements. Proposals for an equal 50-50 chip production split suggested in U.S. media were not part of the talks and are not acceptable to Taiwan, which aims to maintain its domestic industry strength alongside enhanced global collaboration. Both sides appear optimistic about reaching an agreement that strengthens economic and strategic ties without disrupting Taiwan's industrial base.