The US and Taiwan inked a trade pact to slash tariffs and bolster semiconductor supply chains, as the island tries to step up its defense spending in the face of threats from China.
The agreement provides a “needed boost to the stability of US-Taiwan ties,” Politico wrote, as some China hawks in Washington fear the Trump administration is toning down its commitments to Taipei to avoid antagonizing Beijing, which sees Taiwan as a breakaway province it will eventually absorb.
Washington is pressuring the island to commit more to its own defense.
Taiwan’s leader, who is looking to pass a $40 billion special military budget, warned that a legislative deadlock over the funds could push Taipei down on the US’ priority list.


