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U.S. Adjusts Tariffs on Taiwan Under Trade Agreement

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U.S. Adjusts Tariffs on Taiwan Under Trade Agreement

by Daisy Mae D.
05/28/2026
in Tariffs & Duties

The administration of U.S. President Donald Trump is easing certain tariffs on imports from Taiwan as part of efforts to implement provisions of a previously agreed trade arrangement between Washington and Taipei.

According to a notice published in the Federal Register, the United States will remove derivative aluminum, steel, and copper duties on aircraft components imported from Taiwan. The changes also include adjustments to sector-specific levies on Taiwanese auto parts, timber, lumber, and wood derivative products, with the combined tariff rate on affected goods capped at 15%.

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The tariffs covered by the notice were originally imposed under Section 232 of the Trade Expansion Act of 1962, which authorizes the U.S. government to apply duties on imports deemed to pose national security concerns.

The latest tariff adjustments follow ongoing discussions between U.S. and Chinese officials regarding economic relations and Taiwan-related issues. Taiwan remains an important topic in relations between Washington and Beijing, with China continuing to view the self-governed island as part of its territory.

Taiwan plays a key role in the global technology supply chain, particularly through Taiwan Semiconductor Manufacturing Co. (TSMC), one of the world’s leading producers of advanced semiconductor chips used in smartphones, electronics, and other devices. The island’s semiconductor industry is considered critical to many U.S.-based technology and manufacturing companies.

As part of the trade arrangement, Taiwan committed to increasing investments in the U.S. semiconductor supply chain. Earlier agreements also included expanded market access for several U.S. industries, including industrial and agricultural exports.

#GlobalTrade #SupplyChain #Semiconductors #USChinaRelations #Manufacturing

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