Taiwan-U.S. Trade Partnership

Taiwan and the United States have maintained a close and long-standing economic and trade relationship. The two sides continue to deepen cooperation in areas such as high technology, supply chain security, the digital economy, and sustainable development, jointly building a resilient and reliable global partnership.

•   Stable Growth in Bilateral Trade：

  The total value of Taiwan-U.S. bilateral goods trade has shown consistent growth, with both parties ranking among each other’s top ten trading partners over the long term.

•   U.S.-Taiwan Initiative on 21st-Century Trade：

  Launched in 2022, the U.S.-Taiwan Initiative on 21st-Century Trade focuses on key areas such as trade facilitation, anti-corruption, support for SMEs, and market access for services.

  The “First Agreement under the U.S.-Taiwan Initiative on 21st-Century Trade” officially entered into force on December 10, 2024, laying the foundation for institutionalizing bilateral trade relations.

•   Advancing a Tax Agreement：

  Both sides are actively working toward a Double Taxation Avoidance Agreement (DTA) to reduce the tax burden on cross-border cooperation, and to promote investment and technological collaboration.

•   Supply Chain Security Cooperation：

  In 2023, Taiwan and the U.S. signed the Framework on Supply Chain and Trade Facilitation, aimed at enhancing the transparency and resilience of supply chains—particularly in the semiconductor sector.

Supply Chain Advantages

Taiwan is a global hub for technology manufacturing, boasting a comprehensive electronics industry supply chain. It holds an irreplaceable strategic position, particularly in the fields of electronic manufacturing and semiconductors.

•   The world’s leading semiconductor foundry：

  Taiwan commands over 60% of the world’s semiconductor foundry capacity and accounts for more than 90% of the global market share in advanced process technologies (7nm and below).

•   A Trusted Electronics Manufacturing Supply Chain：

  Encompasses a complete ecosystem covering the R&D, design, manufacturing, and marketing of electronic products.

•   Comprehensive End-to-End Integration Capability：

  From IC design and silicon wafer fabrication to packaging, testing, and system integration, Taiwanese companies form a vertically integrated supply chain that can rapidly respond to market and customer needs.

•   Strong Innovation and R&D Capability：

  Taiwan’s annual R&D expenditure exceeds 3% of its GDP. The country continues to invest in advanced packaging, AI chips, automotive semiconductors, and green manufacturing technologies.

Friendly Investment Environment

Taiwan Is Committed to Creating a Stable and Open Investment Environment, Attracting Numerous U.S. Companies to Establish a Presence

•   Comprehensive Legal and Regulatory Framework：

  Taiwan provides a well-developed legal system for business and investment, along with transparent administrative review processes, offering foreign investors a clear and predictable operating environment.

•   Strong Intellectual Property Protection：

  According to the American Chamber of Commerce’s Annual Business Climate Survey, Taiwan excels in areas such as intellectual property protection, rule of law, and anti-corruption.

•   Ongoing U.S. Investment Expansion：

  U.S. companies such as Google, TSMC, Applied Materials, and Micron continue to expand production and establish R&D centers in Taiwan—demonstrating strong trust in Taiwan’s economy and legal framework.

•   Global Competitiveness Performance：

  According to the IMD World Competitiveness Yearbook published by the International Institute for Management Development (IMD) in Switzerland, Taiwan consistently ranks among the top countries in both “government efficiency” and “business efficiency.”