US tariffs affect about 2,800 Taipei companies

美國關稅影響約 2,800 台北企業

Taipei’s ICT, auto parts, electronics, and sporting goods sectors could be affected


TAIPEI (Taiwan News) — Taipei Mayor Chiang Wan-an (蔣萬安) said approximately 2,800 companies in the city would be affected by US President Donald Trump's 32% tariffs on Taiwan.

Chiang visited Taipei Neihu Technology Park Development Association on Monday to hear concerns from businesses. He said the city’s information and communications technology, auto parts, machinery components, electronic components, and sporting equipment sectors would be among the hardest hit, per CNA.

These businesses generate about NT$920 billion (US$30.67 billion) in annual revenue, accounting for roughly 5% of the city’s total revenue, Chiang said. He added the city formed a cross-departmental task force, while the Economic Development Department is drafting plans to offer interest subsidies and extend loan repayment periods to support affected companies.

The department said that Taiwanese businesses operating in the US are facing increased costs for raw materials imported from Taiwan due to tariffs. Business owners suggested the government help companies by partnering with Southeast Asian firms to establish assembly bases in the US and strengthen efforts to expand into markets outside of the country.

Taipei Neihu Technology Park Development Association Chair and Delta Electronics Vice President Jesse Chou (周志宏) said the government must first stabilize prices, as the tariff dispute could increase inflation. He also stressed the importance of diversifying trade partners.

Tariffs would significantly impact the tech sector and the domestic market, Chou said. He urged the ruling and opposition parties to stop internal conflicts and called on the Cabinet to negotiate with the US to secure the best interests of Taiwan.

Ya-Kuang Electric Appliance Company Chair Liao Chuan-ping (廖全平) said that more than 80% of the company's components are imported for assembly, leaving it significantly impacted by tariffs. Noting that the peak sales season for air conditioners and refrigerators begins in April, he suggested the government consider introducing tax reduction measures to help businesses overcome the challenges.

Liao also said the electrical appliance sector's imported components are priced in US dollars. He explained that if the Taiwanese dollar depreciates, it will affect the product prices.

GrandeTex Development Company Chair Chang Ssu-jung (張寺榮) said that tariffs will significantly impact the textile industry. He noted that Taiwanese textile companies may increasingly focus on trade cooperation with Southeast Asian nations to avoid the tariffs.

Lian Fa International Dining Business Corporation Chair Cheng Kai-lung (鄭凱隆) added that Taiwan has strong negotiation leverage and expressed hope the government will utilize this leverage in talks with the US.