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What are tariffs and how do they work?

Responding to Trump tariff threat, Taiwan says chip business is 'win-win'

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Semiconductor business between Taiwan and the United States is a "win-win" model for both sides given the high level of complementarity, the government said on Tuesday in response to tariff threats from U.
In response to former U.S. President Donald Trump's suggestion of imposing a 10% tariff on all imports, Taiwan's Minister of Economic Affairs, J.W. Kuo, emphasized the mutual benefits of the semiconductor industry between Taiwan and the U.S. during a news conference on January 28, 2025. Kuo highlighted that the chip business is a "win-win" situation, pointing out that Taiwan Semiconductor Manufacturing Co (TSMC) has invested significantly in the U.S., with plans to expand its operations there. He argued that such tariffs could disrupt the global supply chain and negatively impact both economies, given the deep integration of Taiwanese companies in the U.S. market. Kuo's comments reflect Taiwan's strategy to maintain and strengthen economic ties with the U.S. amidst potential policy shifts.

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[ https://www.reuters.com/technology/responding-trump-tariff-threat-taiwan-says-chip-business-is-win-win-2025-01-28/ ]