Focus on security cooperation after trade deal: Ex-White House official

Washington, Jan. 16 (CNA) After a tariff agreement was reached this week addressing key economic issues, Taiwan and the United States can now focus more on security cooperation in the Indo-Pacific, a former White House official said Friday.

Alexander Gray, who served as deputy assistant to the president and chief of staff of the National Security Council during U.S. President Donald Trump's first presidency, made the comments in an interview with CNA.

Asked about his perspective on the trade deal, Gray called it a "very positive development in the U.S.-Taiwan relationship," as Washington has had several disagreements with Taiwan on trade matters over the years, going back to the first Trump administration.

He added that the deal is a step toward resolving U.S. concerns about semiconductor imports, which have long been a major source of friction between the two sides.

However, with the issue taken off the table for the time being, he believes "there's a huge opportunity for the U.S. and Taiwan to focus on strengthening our partnership and security, strengthening our regional collaboration and deterrence in the Indo Pacific."

After months of talks, the United States agreed to cut tariffs on Taiwanese goods from 20 percent to 15 percent, without stacking them on existing most-favored-nation (MFN) rates. Meanwhile, Taiwanese semiconductor, electronics manufacturing services (EMS), AI, and energy companies will invest US$250 billion in the U.S. based on their own plans.

Taiwan's government has pledged to provide up to US$250 billion in credit guarantees for financial institutions to support investments in the U.S. market by the semiconductor and information and communication technology sectors.

Security and deterrence

Gray, who currently serves as Chief Executive Officer of American Global Strategies, an international strategic advisory firm, said the arms deal that was approved and sent to Taiwan late last year sends a "great signal" to Beijing that the U.S. remains steadfast under the Taiwan Relations Act, and the Six Assurances.

In December, the U.S. government announced the potential sale of eight arms packages to Taiwan, including HIMARS rocket systems, anti-tank missiles and drones, at an estimated total cost of US$11.1 billion.

Gray said he hopes the deal leads to more arms sales over the next year, but acknowledged that the U.S. currently faces a significant delivery backlog to Taiwan.

As the U.S. works to expand its defense industrial base, he said the country needs to make sure that it is "not just doing new sales, but actually delivering on the weapons Taiwan has already purchased."