The US and Taiwan finalized a trade deal that will see Washington cap tariffs on Taiwanese imports, a boost to Taipei’s crucial semiconductor sector, in return for a $250 billion investment to expand chipmaking on American soil.
The announcement — which comes a month after the two agreed their biggest-ever arms deal — highlights deepening relations: Taipei has at times expressed worry, since President Donald Trump returned to office, over the steadfastness of US backing in the face of growing pressure from China on Taiwan, which Beijing regards as a renegade province.
The trade deal also cements Taiwan’s central role in global chipmaking, a day after semiconductor behemoth TSMC pledged to spend as much as $56 billion on strengthening its manufacturing capacity.
