Taipei, on February 2 (CNA), the President of the United States, Donald Trump, “will be drawn in the foot” if he follows his recent commitment to impose higher prices on Taiwanese analysts and other foreign semiconductors entering United States, according to analysts.
According to the macroeconomist Henry Wu (吳嘉隆).
He “will be pulled in the foot,” said Wu on the RNA on Saturday, because such economic measures would lead the suppliers of Taiwanese flea to transmit additional costs to their American customers and consumers and, ultimately, would cause another wave of inflation.
Trump said Taiwan had taken up to 98% of flea production activity, which means that US companies have no choice but to buy chips in Taiwan, Wu said.
The American president probably referred to advanced computer flea, more than 90% of which are currently produced in Taiwan, and according to Wu, companies like Taiwan Semiconductor Manufacturing Co. (TSMC) have “a technological advantage and an absolute price power” .
Speaking at a conference House Republican resulting on January 27 (Florida Time), Trump said that his administration would soon place “prices on foreign production of computer chips and pharmaceutical products to make the production of these essential goods to America “.
Taiwan has around 98% of the chip activity, said Trump, adding “we want them to come back … They needed an incentive, and the incentive will be that they will not want to pay 25, 50 or Even 100% taxes.
In an article published one day later by the Foundation of Information and Innovation Technologies, Stephen Ezell, vice-president of global innovation policy in the Washington-based reflection group, said the price Promised by Trump aimed at bringing the manufacture of fleas to the United States.
If the United States lifts prices on Taiwanese tokens 100% but imposes smaller prices on tokens in other countries, said Ezell, Taiwanese companies will move their factories elsewhere and not necessarily in the United States
The promised price will not lead the companies of semiconductors and Taiwanese electronics in America, but “will rather unleash a world and transversal tariff war that would increase costs for Americans, would injure American technological companies and damage relations with an ally Key American at a vital time, “he said.
Trump’s comments were made just a few days before the United States imposed a 25% price on all Mexican imports and almost all Canadian women, and an additional 10% price on Chinese products, in the name of The fight against illegal immigration and illicit drugs.
Hsien-Ming link (連賢明), president of the Chung-Hua Institution for Economic Research, also warned against a “world tariff war”, noting that Trump prices could be global taking into account the actions taken against the Allies and Mexico for us and Mexico.
He said Trump’s threat to impose prices on the Taiwan semiconductors industry would have a more significant impact on mature flea producers than on advances, because the former are confronted with a more competitive market and have less price power.
At the same time, Link suggested that Taiwan should consider allowing the new Taiwan dollar to assess and reduce the trade deficit with the United States to avoid being struck by high American rates.
Taiwan, Canada, Mexico and China are all in the top 10 of the countries with which the United States has a trade deficit.
