This Thursday, Finance Minister Chuang Tsui-yun (莊翠雲) addressed the Legislature regarding United States President Donald Trump’s 25% tariff on imported vehicles, which is set to take effect April 2. Asked whether Taiwan will impose corresponding tariffs on cars imported from the U.S., Chuang said the potential impact on domestic industries and consumers must be assessed first.
Per Chuang, Taiwan has exported NT$3.1 billion (NT$93.5 million) worth of vehicles to the U.S., the vast majority of which were off-road all-terrain vehicles (ATVs) under 1,000cc. She said it is not yet clear whether the new tariffs will affect ATVs.
In addition to slapping duties on imported cars, the Trump administration is also expected to announce reciprocal tariffs aimed at a group of countries that have trade imbalances with the U.S.; Treasury Secretary Scott Bessent has called this group the “dirty 15.” Legislators questioned whether Taiwan would be included among the “dirty 15.” Central Bank of the Republic of China Vice President Chu Mei-li (朱美麗) said that while Trump’s decisions are outside of their control, all relevant ministries and commissions are preparing accordingly.
Chu added that the concept of reciprocal tariffs by the U.S. violates the spirit of the World Trade Organization’s most-favored-nation treatment, which requires countries providing a trade concession to one trading partner to extend that same treatment to others. Since Taiwan imports a large amount of agricultural products from the U.S., she said, there should be room for negotiation between the two countries.