TAIPEI (TVBS News) — Global markets experienced significant turbulence Wednesday (April 9) following President Trump's announcement of reciprocal tariffs against trading partners. Taiwan's Minister of Transportation and Communication (MOTC, 交通部) Chen Shih-kai (陳世凱) warned legislators that these protectionist measures would have tangible consequences for Taiwan's export-dependent economy, projecting sea freight load rates to decline between 3% and 5% by late May. Speaking before the Legislative Yuan's Transportation Committee (Taiwan's parliamentary transportation oversight body), Minister Chen presented these projections while noting that current maritime shipping utilization remains relatively stable at 70% to 80% capacity.
During the committee hearing, Kuomintang (KMT, 國民黨) Legislator Hung Meng-kai (洪孟楷), a member of Taiwan's main opposition party, expressed concern over Taiwan's tourism competitiveness, noting the island ranked just 15th globally in tourist arrivals for 2024, barely ahead of the Philippines. Hung connected the broader economic challenges posed by U.S. tariffs — including potential economic contraction, rising inflation, and increasing unemployment — to further pressures on Taiwan's tourism sector. The discussion shifted when Democratic Progressive Party (DPP, 民進黨) Legislator Ho Hsin-chun (何欣純), representing the ruling party, probed whether President Lai Ching-te's (賴清德) initiative to expand American procurement as a trade deficit reduction strategy might incorporate commercial aircraft purchases by Taiwanese carriers.
Responding to legislators' concerns, Minister Chen explained that the severity of tariff impacts on Taiwan's maritime shipping sector would largely depend on how U.S. importers adjust their supply chains and procurement strategies. He assured legislators that government agencies have developed contingency plans for potential economic disruptions affecting both shipping operations and cross-border business activities, with his ministry maintaining heightened monitoring of these developments. The transportation chief acknowledged the tourism industry's particular sensitivity to broader economic conditions and expressed optimism that recent stock market volatility would not significantly undermine consumer spending or domestic travel. Addressing Legislator Ho's aircraft procurement inquiry, Chen confirmed that Taiwan's national carriers already have commercial airplane acquisitions in progress, suggesting these substantial transactions would contribute meaningfully to President Lai's U.S. procurement targets.
