07/08/2025
In an article published in The Straits Times on August 7, 2025, Professor Julien Chaisse comments on the potential impact of US President Donald Trump’s proposed 100 percent tariff on imported semiconductors.
While Taiwan Semiconductor Manufacturing Company (TSMC) would likely be exempt due to its extensive investments in US-based production facilities, Professor Chaisse warns that Taiwan’s chip sector is not immune. He explains that Washington could alter rules of origin to extend the tariff’s reach to products containing Taiwanese components, potentially forcing larger buyers to shift more manufacturing capacity to the US. This, he notes, could divert investment away from domestic expansion and reshape Taiwan’s role in the global tech supply chain over the next five years.
Professor Chaisse adds that the measure, aimed at bolstering US chip production, would raise costs across the supply chain and depress global electronics demand, though the US will remain reliant on Taiwan for advanced chips in the near term.
Sue-Ann Tan, “Relief in Taiwan as Trump’s 100% chip tariff fails to bite, but it’s too early to relax”, The Straits Times, August 7, 2025.
Read the full article here: https://www.straitstimes.com/asia/east-asia/some-relief-in-taiwan-over-trumps-100-chip-tariffs-but-experts-say-its-too-early-to-relax
