Overview
- The U.S. Commerce Department said the pact lowers tariffs on Taiwanese goods to 15%, sets sectoral caps, and exempts generics and some natural resources from reciprocal levies.
- Taiwanese chip and technology firms pledged at least $250 billion in new direct investment in the United States to expand production in advanced semiconductors and artificial intelligence.
- Taiwan will provide at least $250 billion in credit guarantees to spur additional projects and reinforce the U.S. semiconductor supply chain.
- TSMC reported a 35% jump in quarterly net profit and plans to raise capital spending by about 40% this year, reflecting strong demand tied to artificial intelligence.
- China reiterated firm opposition to agreements with Taiwan that suggest sovereign ties, while Taiwan’s premier Cho Jung-tai praised the deal’s outcome.