US Administration announces 34% tariffs on China, 20% on EU

Summary

Taiwan tariff could fuel US scepticismpublished at 03:56 British Summer Time03:56 BSTTessa WongIn SingaporeFor decades, America has insisted it is a true ally of Taiwan, with the two places forging ever-closer economic and military ties. Taiwan's computer chip industry has made it invaluable to the US, which also sees the island as a bulwark against China's expansionist claims in the South China Sea.Former US President Joe Biden had vowed to protect Taiwan from a Chinese attack.But under Donald Trump, that close relationship has been called into question. He has previously said the island "stole our chip business" and that "Taiwan should pay us for defence". Recently he pushed for the Taiwanese chip manufacturer TSMC - the world's largest - to invest further in their factory in Arizona. Now, he has slapped a surprisingly hefty 32% tariff on imports from Taiwan.For several years, there has been a growing suspicion in Taiwan that the US is "hollowing out" the island of its resources. It has largely been fuelled by pro-China hawks but also disinformation campaigns from China. This narrative, known as yimeilun or US scepticism, portrays the US as a fickle friend who will abandon Taiwan once it has outlived its usefulness, and that the Taiwanese are better off "reunifying" with China.Most Taiwanese still believe the US is their ally. Yimeilun is not a widespread narrative in Taiwan yet. But with Trump's actions like today's tariff, it may find fertile ground.