Taiwan says negotiations with U.S. to lower 20% tariff still ongoing

Taipei, Aug. 1 (CNA) President Lai Ching-te (賴清德) said Friday morning that Taiwan is still negotiating with the United States in an effort to lower the 20 percent tariff announced just hours earlier by Washington on most Taiwanese imports.

Describing the new tariff as "provisional," Lai said in a social media post that he believed the 20 percent rate could be lowered further once both sides reach an agreement.

He said, without elaborating, that both sides had completed "technical consultations" and that Taiwan's negotiating team had adhered to the government's position to protect national and industrial interests and ensure food security and public health.

The U.S. imposed sweeping import taxes on more than 100 countries and regions in early April, including a blanket 32 percent tariff on most Taiwanese goods, excluding semiconductors, which are being addressed through separate negotiations.

According to Lai, Taipei and Washington will also begin talks on semiconductors and supply chains soon.

Under an executive order signed by U.S. President Donald Trump on July 31 (Washington time), the new tariff -- which will be added on top of existing duties on Taiwanese imports -- may reflect Taiwan's failure to reach an agreement with the U.S. or meet Trump's trade demands.

In contrast, neighboring Japan and South Korea have reached trade agreements with the Trump administration, agreeing to open their markets to more U.S. goods and committing to major investments and purchases in the U.S. in exchange for reduced 15 percent tariffs.

Thailand, Malaysia, Indonesia, Cambodia and the Philippines are subject to a 19 percent tariff. Vietnam shares the same 20 percent rate as Taiwan, while India faces a 25 percent tariff.