In the face of the United States imposing a 32% tariff challenge, Lai Ching-te proposed five major strategies to stabilize the economic situation.

The U.S. government recently imposed tariffs of up to 32% on several trading partners, including Taiwan, citing "reciprocal tariffs" as the reason, which has sparked significant domestic concern. President Lai Ching-te responded to this matter today (the 6th) through a recorded speech, presenting five major countermeasures, emphasizing that the government will collaborate with the private sector to stabilize the economic fundamentals and turn crisis into opportunity. He also called for unity across political parties to support the Executive Yuan's measures and work together to open broader economic pathways for Taiwan.

The US heavy artillery tax increase will inevitably impact Taiwan.

Lai Ching-te pointed out that the United States, under the name of "reciprocity," has raised tariffs on multiple countries globally, and Taiwan has not been spared. The additional 32% import tax will pose significant challenges for Taiwan, which relies heavily on foreign trade. Countries are successively responding with measures, even resorting to retaliatory actions, and the international economic and trade situation may undergo drastic changes.

"Taiwan, as an export-dependent economy, has been struggling amidst this wave of impact and must respond cautiously, advancing step by step," President Lai reminded the public to stay vigilant about the situation, while also emphasizing that there is no need to panic.

Overview of Taiwan-US Trade: ICT Products Support Half of the Sky

Although Taiwan's export ratio to the United States reaches 23.4%, the president stated that about 65.4% of this consists of information and communication technology and electronic components, which are highly competitive, reflecting the resilience of Taiwan's economy. He believes that if the government and the private sector work together to respond, there is still a chance to mitigate the impact of this situation.

He further clarified that Taiwan does not plan to implement retaliatory tariffs against the U.S. and will not change the established direction of Taiwanese investment in the U.S. However, Taiwan will actively seek negotiation opportunities to explain its importance in the U.S. economic system.

Five major response strategies are unveiled, and the government is ready to take comprehensive action.

1. Negotiate for tariff improvements, form a high-level task force to take action.

The government has formed a negotiation team led by Vice President Cheng Li-Chun, which includes representatives from the National Security Council, the Economic and Trade Negotiation Office, and the industry-academia-government sectors, aiming to work towards a "zero tariff" direction based on the framework of the US-Mexico-Canada Free Trade Agreement.

At the same time, by expanding procurement from the U.S. to reduce the trade deficit, including agricultural products, energy, and military equipment, the government has also proposed a large list to take action. Taiwan's accumulated investment in the U.S. has exceeded 100 billion USD, creating about 400,000 job opportunities. In the future, it will also promote the two-way integration of the "Taiwan Investment in the U.S. Team" and the "U.S. Investment in Taiwan Team."

In addition, addressing U.S. concerns such as the elimination of non-tariff trade barriers, responding to high-tech export issues, and the problem of origin laundering are also key tasks in this negotiation.

2. Launch Industry Support Program Small and Medium-sized Enterprises to be Prioritized for Benefits

In response to traditional industries and small to medium-sized enterprises affected by the new tariffs, the government will launch the "Industry Support Program." The Executive Yuan has recently announced a plan covering nine major aspects and twenty measures, providing immediate and precise assistance to help industries upgrade and transform, enhancing competitiveness.

3. Launch a medium- to long-term economic development blueprint to create an AI Smart Island

In the face of global supply chain restructuring and emerging technological trends, the government plans a medium to long-term economic strategy. In addition to strengthening cooperation and expanding markets with friendly countries, it will also make good use of Taiwan's advantages in semiconductors, IC design, and information and communication technology to create an "Artificial Intelligence Island," comprehensively developing application industries such as smart manufacturing, big health, and next-generation communications, driving Taiwan toward a new economic era of intelligence and sustainability.

4. Shaping the "Taiwan +1" New Economic Layout to Strengthen Cooperation with the U.S.

President Lai proposed to adjust the national economic strategy, upgrading "Based in Taiwan, Layout Globally, Marketing Worldwide" to "Based in Taiwan, Layout Globally, Strengthen Ties with the United States, Marketing Worldwide," making good use of the opportunity for supply chain transfer, assisting Taiwanese businesses in adjusting their overseas layout, strengthening ties with the U.S. industrial chain, and deepening Taiwan-U.S. cooperation.

On the domestic front, the government will continue to improve the investment environment, address pain points such as water, electricity, land, and labor, and encourage companies to increase investments and remain in Taiwan.

5. Launch the "Industry Listening Journey" to directly address the voices of enterprises.

In response to the concerns and challenges of the industry, the President and the Executive Yuan team will launch the "Industry Listening Tour,"深入各地、各業界，了解真實需求，並即時調整政策內容，確保應對措施切中要害。

Turn crisis into opportunity, the president calls for unity and support from all parties.

President Tsai emphasized that Taiwan has faced challenges such as the energy crisis, the Asian financial crisis, the global financial tsunami, and the pandemic, turning each crisis into an opportunity, thanks to the unity and cooperation between the government and the private sector. He called for support from all sectors to back the Executive Yuan's policies and to jointly build a more resilient and competitive Taiwanese economy.

"Let's work hard together!" Lai Ching-te earnestly called out to the people, hoping that this campaign would not only be the beginning of a challenge but also a new opportunity for Taiwan's economic upgrade.

This article faces the challenge of the United States imposing a 32% tariff, and Lai Ching-te puts forward five major strategies to stabilize the economic situation, first appearing in Chain News ABMedia.