TAIPEI (TVBS News) — U.S. Commerce Secretary Howard Lutnick declared Friday (Sept. 12) that America stands on the verge of finalizing a major trade agreement with Taiwan, marking a potential breakthrough in bilateral economic relations. This announcement follows President Donald Trump's executive order in July that temporarily adjusted Taiwan's reciprocal tariffs rate to 20 percent. Taiwan's trade negotiation team continues working intensively to prevent the new rate from compounding existing tariffs while carefully tracking the timeline for crucial tariff summary discussions.
Lutnick detailed these negotiations during a morning CNBC interview, describing extensive discussions with Taiwan and commerce ministers from multiple nations regarding trade arrangements. Taiwanese businesses express mounting concerns about Trump's comprehensive tariff plan potentially disrupting the semiconductor industry, particularly given unprecedented global demand for advanced chips in artificial intelligence development. The Commerce Secretary revealed that America and South Korea have successfully concluded their agreement, though official documentation remains incomplete.
South Korea officially announced reaching an agreement with the Trump administration to secure reduced U.S. automotive tariffs in exchange for substantial South Korean investment commitments. Japan has submitted its required documentation for similar negotiations, but Lutnick stressed the significant challenges remaining in finalizing their bilateral agreement. These parallel negotiations demonstrate the broader scope of Trump's trade restructuring efforts across Asia-Pacific partners. ◼