TAIPEI (TVBS News) — Taiwan faces a potential flood of artificially cheap Chinese merchandise diverted from American markets as Washington dramatically escalates its trade war with Beijing, the island's top government official cautioned Friday (April 11). Premier Cho Jung-tai (卓榮泰), who heads Taiwan's cabinet, expressed concern that the United States' staggering 145 percent tariff increase on Chinese imports could transform Taiwan into an unintended dumping ground for mainland products. The warning comes just two days after U.S. President Donald Trump granted Taiwan a temporary reprieve from higher duties, announcing a 90-day period during which Taiwanese exports will face only a 10 percent tariff while Washington maintains its punitive measures against Chinese goods in response to Beijing's trade retaliation.
Mobilizing quickly to capitalize on the temporary tariff suspension, Taiwan has assembled a specialized negotiation team under the leadership of Vice Premier Cheng Li-chun (鄭麗君), the second-highest ranking official in Taiwan's executive branch. The delegation will work to secure more favorable long-term trade terms before the grace period expires. During his briefing, Premier Cho stressed Taiwan's determination to tackle persistent non-tariff barriers that have complicated bilateral trade relations for years, while simultaneously cracking down on the illegal practice of Chinese manufacturers routing products through Taiwan to circumvent American tariffs — a key concern for U.S. trade officials.
The government will not wait for negotiations to conclude before taking action, according to Premier Cho, who unveiled immediate support initiatives targeting vulnerable sectors of Taiwan's economy. These measures will provide financial assistance to traditional industries and small and medium-sized enterprises most exposed to trade disruptions, while simultaneously helping them enhance their competitive position. The premier also outlined a broader strategic vision that includes government assistance for Taiwanese companies needing to reconfigure their international manufacturing networks and a comprehensive economic plan positioning Taiwan as the central hub in global supply chains less dependent on the Chinese market. ★