TAIPEI (TVBS News) — Economic Minister J.W. Kuo (郭智輝) warned on Wednesday (Nov. 27) that President-elect Donald Trump's new tariff policies could significantly impact Taiwan's Electronic Manufacturing Services (EMS). The announcement of a 25% tariff on imports from Canada and Mexico, alongside a 10% tariff on China, has raised concerns among industries with ties to these regions.
Kuo observed that EMS operations are primarily located near Texas and New Mexico, hinting that the industry may need to seek new strategies and layouts. The Ministry of Economic Affairs (MOEA, 經濟部) has not yet received feedback from industry stakeholders regarding Trump's proposal. Nonetheless, it plans to engage with sector representatives to formulate response strategies.
Emphasizing the need for adaptability, Kuo suggested that Taiwanese businesses targeting European and American markets might consider relocating to countries with more favorable U.S. policies. He also assured that the ministry will closely monitor interest and exchange rate fluctuations to protect Taiwanese enterprises.
In May, the ministry unveiled a plan to optimize the EMS industry's supply chain by emphasizing generative AI applications and industrial computers. Taiwanese companies based in the southern U.S. and near Mexico, particularly those manufacturing servers and electric vehicles, may feel the repercussions of Trump's tariffs.
