Trump imposes a 32% tariff on Taiwan, deeply affecting the export of fasteners from Kaohsiung to the United States.
- byVic

讀後心得
The United States has announced a 32% tariff on Taiwan, which has had a significant impact on the fastener industry in Kaohsiung, including screws and nuts. These products account for as much as 92% of exports to the United States. The Kaohsiung City Government has established a "Task Force for Responding to Equal Tariff Economic Strategies" to assist businesses in mitigating the impact. Businesses are concerned that if Vietnam receives zero tariffs, there may be a shift in orders that could further harm Taiwan's fastener industry. Although some businesses have expressed worries about the future, the government plans to launch multiple support measures to aid in the transformation and upgrading of the industry. The tariff policy set to take effect in May has caused anxiety among businesses, who hope the government can reduce the impact.
The United States announced a 32% tariff on Taiwan, which has affected the fastener industry in Kaohsiung, with an estimated export value to the U.S. reaching NT$52.3 billion, accounting for 92% of its exports. Industry players pointed out that Taiwan's biggest competitors in the fastener market are China and Vietnam. If the zero-tariff conditions proposed by the Vietnamese government are approved by the U.S., it may lead to a shift in orders.
The Kaohsiung City Government has established a "Countermeasure Task Force for Equal Tariff Economic Strategies," which aims to secure subsidies from the Executive Yuan and assist businesses in mitigating the impact of the tariffs.
The Banzhou Industrial Zone in Gangshan District, Kaohsiung, is the largest fastener industry cluster in Taiwan, providing products ranging from glasses to large machinery. The 32% tariff announced by Trump has raised concerns among industry players, with some indicating that clients may pause shipments to assess the impact of the new policy.
According to statistics, the output value of metal processing products in Kaohsiung is NT$233 billion, with an export value to the United States of NT$56.4 billion, accounting for 24% of total exports. Among these, the export value of fasteners such as screws and nuts to the U.S. is NT$52.3 billion, representing a staggering 92% share of exports.
Industry players noted that, in the face of Trump's equal tariff policy, the tax rates in China are 54% and 46% in Vietnam, both higher than Taiwan's 32%, so there was originally not much to worry about. However, if Vietnam receives the zero-tariff privilege, the impact on Taiwan will be substantial, and industry players are calling for the government and businesses to cooperate to meet the challenge.
In addition to the 32% tariff, industry players believe that the import steel tax under Section 313 has also had a significant impact. Whether the original rates of 6.5% to 8% or the newly established rates, all have made the business environment more challenging.
The Kaohsiung City Government's countermeasures include establishing an industry connection platform, forming an industry guidance team, and setting up a labor care group to help businesses cope with the impact of U.S. tariffs. Legislators from the Democratic Progressive Party have stated that they will continue to advocate for Kaohsiung's industries to reduce the impact.
With only a few days left until the new tax rates take effect, industry players are still observing and hope that the government can maintain communication with the U.S. side to respond to future changes.