Taiwan aims to be strategic AI partner in US tariff deal
- Taiwan, US reach deal to cut tariffs, boost investment
- Taiwan to back investments in US but companies to make decisions
- Taiwan is major semiconductor maker
TAIPEI, Jan 16 (Reuters) – Taiwan aims to become a close strategic partner with the United States in the area of artificial intelligence (AI) after striking a deal to cut tariffs and boost its investment in the country, Vice Premier Cheng Li-chiun said on Friday.
The administration of President Donald Trump has pushed the major producer of semiconductors for greater investment in the United States, specifically in turning out chips that power AI.
Cheng said in comments livestreamed from a press conference in Washington,
In this negotiation, we promoted two-way Taiwan–U.S. high-tech investment, hoping that in the future we can become close AI strategic partners,
Cheng led the talks that clinched Thursday’s trade deal, which cuts tariffs on many of Taiwan’s exports, and directs new investments in the U.S. technology industry, but it could also irritate China.
China regards democratically-ruled Taiwan as its own territory and strongly objects to high-level U.S.-Taiwan exchanges. Taiwan rejects Beijing’s sovereignty claims.
U.S. Commerce Secretary Howard Lutnick said Taiwan companies would invest $250 billion to boost production of semiconductors, energy and artificial intelligence in the United States.
The figure includes $100 billion already committed by chipmaker TSMC (2330.TW), in 2025, with more to come, he added.
Taiwan will also guarantee an additional $250 billion in credit to facilitate further investment, the Trump administration said.
‘CLOSE PARTNERS’
Cheng called the deal “win-win”, adding that it would also encourage U.S. investment in Taiwan. The United States is the island’s most important international backer and arms supplier, despite the lack of formal diplomatic ties.
The investment plan is company-led, rather than driven by the government, and Taiwan companies will continue to invest at home, Cheng added.
We believe this supply-chain cooperation is not ‘move,’ but ‘build.’
”We expand our footprint in the U.S. and support the U.S. in building local supply chains, but even more so, it is an extension and expansion of Taiwan’s technology industry.”
reporters in Taipei, adding that it was up to companies to reveal the chip-related amounts.
Taiwan’s benchmark stock (.TWII), closed at a record high on Friday, boosted by strong TSMC fourth-quarter earnings and a favourable investor reaction to the tariff deal.
“Taiwan is the first country the U.S. has publicly announced as receivin
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Taiwan aims to be strategic AI partner in US tariff deal, source
