The US and Taiwan have signed a trade agreement that will reduce the Donald Trump Administration’s tariffs on exports of Taiwanese products to 15%, the same level that applies to other Asian countries such as Japan or South Korea. In return, Taipei has committed to opening its market to American products and encouraging their purchase. Specifically, Taiwan has agreed that it will eliminate or reduce 99% of tariff barriers on US products, in addition to providing preferential market access for US industrial and agricultural exports. Among these products, automobiles, meat products and minerals stand out. Likewise, Taiwan also plans to buy more than $84 billion in American products between 2025 and 2029, including liquefied natural gas and crude oil, as well as aircraft and electrical equipment. As explained by the office of the US Trade Representative, and reported by ‘CNBC’, Taiwan has committed to «resolving long-term non-tariff barriers», such as the acceptance of US vehicles manufactured according to the US Federal Motor Vehicle Safety Standards. And all this without additional requirements. It is worth remembering that last January the agreement between the US and Taiwan which reduced tariffs to 15%, although it is only now that some pending issues have been defined. It was then announced that the Taiwanese chip and technology companies they would invest at least 250 billion dollars in production capacity in the US, backed by an equivalent amount of government credit «to facilitate additional investment by Taiwanese companies.»
