Gantry cranes and shipping containers are seen at the port in Keelung, Taiwan, January 16, 2026. I-HWA CHENG / AFP
Taiwan vowed Friday, January 16, to remain the world's "most important" AI chipmaker, after reaching a trade deal with the United States that will reduce tariffs on the island's shipments and increase Taiwanese investment on US soil. Taiwan is a powerhouse in producing chips – a critical component in the global economy – but the US wants more of the technology made in America.
The agreement "will drive a massive reshoring of America's semiconductor sector," the US Commerce Department said. Under the deal, Washington will lower tariffs on Taiwanese goods to 15%, down from a 20% "reciprocal" rate meant to address US trade deficits and practices it deems unfair.
Taiwanese Premier Cho Jung-tai praised negotiators Friday for "delivering a well-executed home run" following months of talks. "These results underscore that the progress achieved so far has been hard-won," Cho said.
Subscribers only
