TAIPEI (TVBS News) — The United States implemented a punitive 20 percent reciprocal tariff on Taiwan starting Thursday (Aug. 7), which Taiwan President Lai Ching-te (賴清德) characterized as a temporary measure. President Donald Trump subsequently announced a devastating 100 percent tariff on semiconductor exports to America unless companies commit to constructing or actively building U.S. manufacturing facilities. Taipei Mayor Chiang Wan-an (蔣萬安) voiced serious concerns about the escalating trade confrontation, demanding explicit government clarification on the administration's response strategy.
Chiang demanded transparency during a press conference earlier that day, urging government officials to clarify Taiwan-U.S. tariff negotiation details and provide concrete response strategies. The Taipei mayor criticized that President Trump had disclosed more information than Taiwan President Lai Ching-te (賴清德) and Premier Cho Jung-tai (卓榮泰), Taiwan's head of government. Chiang questioned whether Taiwan Semiconductor Manufacturing Company Ltd. (TSMC, 台積電) and other semiconductor companies would face the crushing 100 percent tariff, emphasizing urgent needs for swift government explanation.
Chiang announced that Taipei has allocated a substantial NT$3.4 billion (around US$113.7 million) budget to mitigate devastating tariff impacts on local businesses and workers. Multiple city departments will deploy comprehensive emergency relief measures, including specialized funds targeting labor rights protection and industrial development support initiatives. Two additional reserve funds will provide crucial financial assistance to struggling small and medium-sized enterprises and displaced workers facing economic hardship from the escalating trade war. ◼ (At time of reporting, US$1 equals approximately NT$29.890)