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2025-04-19

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Trump's tariffs may affect Taiwan's stock market; Zhuo Rongtai: We need to be mentally prepared to face the impact.

Trump's tariffs may affect Taiwan's stock market; Zhuo Rongtai: We need to be mentally prepared to face the impact.
讀後心得
U.S. President Trump announced the imposition of comprehensive reciprocal tariffs on various countries, causing significant fluctuations in global financial markets, and it is expected that the Taiwan stock market will retest 20,000 points. Executive Yuan Premier Su Tseng-chang stated that the government has prepared a response plan regarding the U.S. tariff measures, hoping to stabilize the market by next Monday, and urged the public to be mentally prepared to face potential impacts. He emphasized that relevant ministries will evaluate the exchange rate and trade deficit to protect domestic health and industries.

The President of the United States has announced the implementation of reciprocal tariff measures. The Executive Yuan's leader expressed hope that through the fluctuations in the U.S. stock market and external communications, they can regain control of the situation by next Monday, bringing a sense of stability to the public; at the same time, they must be mentally prepared to face the upcoming impacts.

This measure has triggered severe fluctuations in the global financial markets. U.S. stocks saw significant declines recently, with the Dow Jones Industrial Average plummeting by 1,679.39 points, and the S&P 500 Index experiencing its largest single-day drop since June 2020. Taiwan Semiconductor Manufacturing Company (TSMC) ADR also fell by over 7%. As the Taiwanese stock market is about to open, the market expects a retest of the 20,000-point threshold.

The Executive Yuan held a press conference this afternoon to explain the "Support Plan for Our Export Supply Chain in Response to U.S. Tariffs." There is public concern regarding the potential fluctuations in the stock market. Some scholars mentioned that the exchange rate policy should be relaxed to address the trade deficit issue that the U.S. is focusing on, pointing out that pork and U.S. beef could become trade barriers.

The Executive Yuan's leader stated that the central bank and the financial supervisory authority have been asked to consolidate and anticipate future trends regarding the exchange rate issue, and immediate external explanations will be made if necessary. Regarding tariffs, Taiwan will collaborate with the international community based on reasonable grounds and global consensus, prioritizing the health of the people.

He also emphasized that there will be certain impacts in the future. The government is fully prepared and will consult with the president based on changes over the next few days and further discuss with various departments. They hope to instill confidence in the public by next Monday while maintaining mental readiness to face challenges.