Trump's 32% tariff on Taiwan "exempts semiconductors" TSMC ADR still falls over 6% after hours, 880 million USD agricultural exports in urgent situation.
Trump announced a 32% tariff on Taiwan, but according to the White House, semiconductor products are currently exempt, but they still impact China's main agricultural products exported to the United States, and the market is worried. (Synopsis: Bloomberg revealed: The U.S. Treasury Department skipped the method of increasing BTC holdings in Congress, but the probability of buying bitcoin this year is only about 30%) (Background supplement: Putin agreed to a ceasefire in Ukraine but conditionally, Trump tariffs killed U.S. stocks again, bitcoin once lost $80,000 and rebounded) US President Trump once again sacrificed his iconic tariff policy early this morning (3), announcing that he would impose "reciprocal tariffs" on many countries, including Taiwan. According to its released data, because Taiwan imposes an average tariff of about 64% on American products (the White House said), the United States will impose a 32% reciprocal tariff on goods from Taiwan, which has aroused great concern in the market. TSMC ADR fell sharply after hours As Taiwan closed the stock market today (3) due to the Qingming holiday, it is not clear how much the stock market will be affected, but TSMC ADR fell 6.16% after the US stock market, which was hit by severe selling pressure. List of tariff exclusions: semiconductors, pharmaceuticals and critical resources are temporarily safe However, according to the "List of Facts" subsequently released by the White House, there are multiple exemptions for the global reciprocal tariff policy. In addition to pharmaceuticals, which have been widely discussed earlier, precious metals such as copper, semiconductors, wood, gold and silver, energy products, and certain mineral resources that are not available or produced in the United States are excluded from the tariffs. This is undoubtedly good news for Taiwan's semiconductor industry, which is highly dependent on the US market, and temporarily lifts the alarm that the industrial chain may be hit hard. However, it should be noted that the Trump administration's Trade Representative Office has repeatedly used tariffs as a trade negotiation tool in the past, and its policy details are often adjusted after initial announcements. Although the exemption list has temporarily relieved some industries, uncertainty in the overall trade environment remains. Enterprises and government units still need to pay close attention to the follow-up development and the specific implementation methods of tariff details. Taiwan's main export of agricultural products to the United States may face severe challenges But although the semiconductor industry has been exempted, the tariff storm may be a severe test for Taiwan's agriculture. The United States has long been the largest market for the export of agricultural products in China, and according to the statistics of the Ministry of Agriculture, the total output value of agricultural products sold by Taiwan to the United States last year (2024) was as high as about 880 million US dollars. Once the 32% tariff is formally implemented, it will significantly increase the cost of Taiwanese agricultural products in the US market, seriously weakening their price competitiveness. A wide range of products are potentially affected, including: food and processed goods, aquatic products, and other agricultural products. According to the Liberty Times article, Yang Mingxian, a professor in the Department of International Trade at Feng Chia University, said that although the 32% tariff figure is staggering, the actual extent of the impact depends on the details of the implementation and the tax rate levied by Taiwan's main rival country. If rival countries face similar tariff barriers, the relative competitiveness of Taiwan's products may not collapse immediately. However, tariffs will eventually be passed on to final consumer prices, potentially reducing U.S. consumer demand for imports in general, thereby compressing Taiwan's overall agricultural exports. Some of these aquatic items, especially fish with less differentiated quality, are likely to come under the greatest pressure. Yang Mingxian pointed out that squid and other products are relatively controllable due to the large number of resaleable markets. But Wuguo fish is mainly exported to the United States to make fish steaks, and while Taiwan-farmed Wuguo fish has advantages such as production history and food safety guarantees, under tariff barriers of up to 32%, more price-sensitive buyers may turn to other sources of supply. Taiwan must pay close attention to price changes for similar products of its main competitors in the US market, such as Vietnam, Indonesia, mainland China, etc. Calling on the government to respond quickly and risk management In the face of a higher-than-expected tariff war, Yang Mingxian called on the Ministry of Agriculture to immediately activate a contingency mechanism to closely monitor the price fluctuations and orders of major agricultural products exported to the United States, especially for high-risk items such as Wuguoyu, it is necessary to assess the possibility of imbalance between production and sales, and develop countermeasures, such as opening up alternative markets, strengthening domestic marketing, and providing industrial guidance or subsidies. In the long run, Taiwan's export industries, especially agricultural products, need to think about how to strengthen their resilience in the context of global supply chain restructuring and rising trade protectionism. In addition to consolidating existing markets, it is also necessary to actively diversify risks and expand into emerging markets such as Southeast Asia and Europe. At the same time, we will continue to enhance the added value and differentiation of products, such as strengthening organic certification, production and marketing history, sustainable fishery standards, etc., so as to consolidate competitiveness in the high-end market and reduce dependence on price competition. Although high-tech industries such as semiconductors have been spared for the time being, it is still unknown whether the scope will be expanded or the exemption conditions will be changed in the future. In general, Taiwan, as a highly export-dependent economy, must always be vigilant and flexible in responding to changes. Related reports Zelensky: You can sign a "mineral agreement" at any time, what precious mineral rare earth resources does Ukraine have? Russian troops attack Ukraine at night! Trump threatened "sanctions + tariffs" to pressure Russia until a ceasefire and reconciliation Zelensky: Willing to follow Trump's strong leadership, Ukraine "can sign a mining agreement at any time" to return to the negotiating table Bitcoin's gold-to-gold ratio fell below the 12-year support line, fearing a backtest of $65,000... Is this bull market over? "Trump's 32% tariff on Taiwan "exempted semiconductors" TSMC ADR still fell more than 6% after hours, and $880 million in agricultural exports were urgent" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".
The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
Trump's 32% tariff on Taiwan "exempts semiconductors" TSMC ADR still falls over 6% after hours, 880 million USD agricultural exports in urgent situation.
Trump announced a 32% tariff on Taiwan, but according to the White House, semiconductor products are currently exempt, but they still impact China's main agricultural products exported to the United States, and the market is worried. (Synopsis: Bloomberg revealed: The U.S. Treasury Department skipped the method of increasing BTC holdings in Congress, but the probability of buying bitcoin this year is only about 30%) (Background supplement: Putin agreed to a ceasefire in Ukraine but conditionally, Trump tariffs killed U.S. stocks again, bitcoin once lost $80,000 and rebounded) US President Trump once again sacrificed his iconic tariff policy early this morning (3), announcing that he would impose "reciprocal tariffs" on many countries, including Taiwan. According to its released data, because Taiwan imposes an average tariff of about 64% on American products (the White House said), the United States will impose a 32% reciprocal tariff on goods from Taiwan, which has aroused great concern in the market. TSMC ADR fell sharply after hours As Taiwan closed the stock market today (3) due to the Qingming holiday, it is not clear how much the stock market will be affected, but TSMC ADR fell 6.16% after the US stock market, which was hit by severe selling pressure. List of tariff exclusions: semiconductors, pharmaceuticals and critical resources are temporarily safe However, according to the "List of Facts" subsequently released by the White House, there are multiple exemptions for the global reciprocal tariff policy. In addition to pharmaceuticals, which have been widely discussed earlier, precious metals such as copper, semiconductors, wood, gold and silver, energy products, and certain mineral resources that are not available or produced in the United States are excluded from the tariffs. This is undoubtedly good news for Taiwan's semiconductor industry, which is highly dependent on the US market, and temporarily lifts the alarm that the industrial chain may be hit hard. However, it should be noted that the Trump administration's Trade Representative Office has repeatedly used tariffs as a trade negotiation tool in the past, and its policy details are often adjusted after initial announcements. Although the exemption list has temporarily relieved some industries, uncertainty in the overall trade environment remains. Enterprises and government units still need to pay close attention to the follow-up development and the specific implementation methods of tariff details. Taiwan's main export of agricultural products to the United States may face severe challenges But although the semiconductor industry has been exempted, the tariff storm may be a severe test for Taiwan's agriculture. The United States has long been the largest market for the export of agricultural products in China, and according to the statistics of the Ministry of Agriculture, the total output value of agricultural products sold by Taiwan to the United States last year (2024) was as high as about 880 million US dollars. Once the 32% tariff is formally implemented, it will significantly increase the cost of Taiwanese agricultural products in the US market, seriously weakening their price competitiveness. A wide range of products are potentially affected, including: food and processed goods, aquatic products, and other agricultural products. According to the Liberty Times article, Yang Mingxian, a professor in the Department of International Trade at Feng Chia University, said that although the 32% tariff figure is staggering, the actual extent of the impact depends on the details of the implementation and the tax rate levied by Taiwan's main rival country. If rival countries face similar tariff barriers, the relative competitiveness of Taiwan's products may not collapse immediately. However, tariffs will eventually be passed on to final consumer prices, potentially reducing U.S. consumer demand for imports in general, thereby compressing Taiwan's overall agricultural exports. Some of these aquatic items, especially fish with less differentiated quality, are likely to come under the greatest pressure. Yang Mingxian pointed out that squid and other products are relatively controllable due to the large number of resaleable markets. But Wuguo fish is mainly exported to the United States to make fish steaks, and while Taiwan-farmed Wuguo fish has advantages such as production history and food safety guarantees, under tariff barriers of up to 32%, more price-sensitive buyers may turn to other sources of supply. Taiwan must pay close attention to price changes for similar products of its main competitors in the US market, such as Vietnam, Indonesia, mainland China, etc. Calling on the government to respond quickly and risk management In the face of a higher-than-expected tariff war, Yang Mingxian called on the Ministry of Agriculture to immediately activate a contingency mechanism to closely monitor the price fluctuations and orders of major agricultural products exported to the United States, especially for high-risk items such as Wuguoyu, it is necessary to assess the possibility of imbalance between production and sales, and develop countermeasures, such as opening up alternative markets, strengthening domestic marketing, and providing industrial guidance or subsidies. In the long run, Taiwan's export industries, especially agricultural products, need to think about how to strengthen their resilience in the context of global supply chain restructuring and rising trade protectionism. In addition to consolidating existing markets, it is also necessary to actively diversify risks and expand into emerging markets such as Southeast Asia and Europe. At the same time, we will continue to enhance the added value and differentiation of products, such as strengthening organic certification, production and marketing history, sustainable fishery standards, etc., so as to consolidate competitiveness in the high-end market and reduce dependence on price competition. Although high-tech industries such as semiconductors have been spared for the time being, it is still unknown whether the scope will be expanded or the exemption conditions will be changed in the future. In general, Taiwan, as a highly export-dependent economy, must always be vigilant and flexible in responding to changes. Related reports Zelensky: You can sign a "mineral agreement" at any time, what precious mineral rare earth resources does Ukraine have? Russian troops attack Ukraine at night! Trump threatened "sanctions + tariffs" to pressure Russia until a ceasefire and reconciliation Zelensky: Willing to follow Trump's strong leadership, Ukraine "can sign a mining agreement at any time" to return to the negotiating table Bitcoin's gold-to-gold ratio fell below the 12-year support line, fearing a backtest of $65,000... Is this bull market over? "Trump's 32% tariff on Taiwan "exempted semiconductors" TSMC ADR still fell more than 6% after hours, and $880 million in agricultural exports were urgent" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".