With their heavy exposure to China, Taiwanese tech firms are feeling the bite of the U.S. tariffs on Chinese goods. For years, China bears warned Taiwanese tech firms about their dependence on the Chinese market. A deep recession in China or a cross-Strait relations crisis could spell trouble for companies overly reliant on Chinese manufacturing…
Tariff Rate Set for Offshore Wind Energy The Ministry of Economic Affairs in late January announced a new feed-in tariff for offshore wind power – a 5.71% reduction from the previous level but a smaller cut than the 12.71% previously proposed. The Ministry had been feeling pressure from two sides. Critics argued that the government…
The New Southbound Policy, launched in 2016 to enhance Taiwan’s contacts with countries in the surrounding region, has recently taken on added significance. The deterioration in U.S.-China economic relations has placed the spotlight on Southeast Asia and India as prime areas for future growth in trade and investment. Taiwan’s efforts to enhance relations with those…
Feeling the Pinch With the global trade environment growing increasingly uncertain, Taiwan recorded exports worth US$28.6 billion in December, 3% less than in the same month a year earlier. The Ministry of Finance attributed the dip largely to sluggish demand for semiconductors used in manufacturing smartphones. New export orders received in December told a similar…
U.S. Restricts Exports to Chinese IC Company The U.S. Commerce Department announced that American companies will need to apply for licenses for all exports or transfers of commodities, software, and technology to China’s Fujian Jinhua Integrated Circuit Co., effective October 30, and that “such license applications will be reviewed with a presumption of denial.” Micron,…
More Mixed Signals The release of Taiwan’s September trade figures brought some good news – a record monthly level for exports – but any exuberance was dimmed by uncertainties about the potential impact of the “trade war” being waged between the United States and China, given the large number of Taiwanese enterprises with production facilities…
U.S.-China Trade War Draws Attention News reports indicate that at a number of Taiwanese firms are considering abandoning their Chinese production bases and returning to Taiwan to avoid being caught in the U.S.-China trade war. Although Taiwan has not been directly targeted by either country, many Taiwanese manufacturers have moved their production sites to China,…
It’s still hard to assess the prospective impact on Taiwan of the U.S.-China tariff battle. As the U.S.-China tariff war unfolds, observers in Taiwan have been searching for clues as to what the impact on the Taiwan economy will be. Heavily trade-dependent Taiwan, after all, is in a precarious position in the middle. It regards…
Positive Indications on the Trade Front Given Taiwan’s heavy reliance on international trade for its economic momentum, the past several weeks brought some encouraging news. Announcement of Taiwan’s trade figures for July showed that exports had continued to increase for the fifth consecutive month. At US$29.36 billion, export value in July was 4.7% higher than…
The 2018 AmCham Doorknock delegation stressed the recent progress on resolving White Paper issues. AmCham Taipei’s 2018 Doorknock delegation had a positive message to share as it made its rounds in Washington D.C. the week of June 18. The group, led by Chamber President William Foreman, opened most of its 45 meetings in the U.S….
