Concerns arise from the possible introduction of new tariffs against Taiwan by the US, Trump has called on foreign companies to start manufacturing in the United States.
Last year, Taiwan’s economy grew nearly four times faster than the previous year, driven largely by global demand for high-tech. TASR informs about it on the basis of a report by the AFP agency, which on Friday referred to the country’s statistical office.
Taiwan’s gross domestic product (GDP) is set to expand by 4.3% in 2024, following a 1.1% increase in 2023. The island of 23 million people is a world powerhouse in semiconductors, which are used in a wide variety of devices from smartphones to wind turbines to state-of-the-art weapon systems. Chips are the engine of economic growth there, but there are concerns that a record high surplus in trade with the United States could prompt US President Donald Trump in his second term to introduce new tariffs.
Trade surplus increased by around 83%
In a video speech at the World Economic Forum (WEF) in Davos, Switzerland, Trump urged foreign companies to start manufacturing in the United States or face tariffs. The new US president has repeatedly threatened to impose tariffs on several key US trading partners, including the European Union, Canada, Mexico and China.
According to Bloomberg, which cited government sources, Taiwan’s trade surplus with the United States will increase by about 83% to a record $64.9 billion (62.38 billion euros) in 2024.
