AmCham Statement on the ART and Energy Stability

The American Chamber of Commerce in Taiwan (AmCham Taiwan) continues to closely monitor developments in U.S.–Taiwan bilateral trade negotiations and the impact of the evolving international landscape on the operating environment. In light of the recent signing of the U.S.-Taiwan Agreement on Reciprocal Trade (ART) and the U.S.–Taiwan Investment Cooperation Memorandum of Understanding (MOU), as well as the focus on energy supply stability amid geopolitical uncertainties, AmCham Taiwan issues the following statement:

1. Commending the Positive Impact of the Agreement on Reciprocal Trade (ART) and the Investment Cooperation MOU, and Calling for the Preservation of These Outcomes in Future Negotiations

AmCham Taiwan highly commends the achievements secured through the Agreement on Reciprocal Trade (ART) and the U.S.–Taiwan Investment Cooperation Memorandum of Understanding (MOU) during relevant negotiations.

Under the ART, approximately one-quarter of Taiwan’s exports to the United States—primarily products from traditional industries—have obtained tariff treatment equal to or more favorable than that enjoyed by major competing countries. In the past, Taiwan faced tariff disadvantages because certain key competitors had concluded free trade agreements with the United States. With the preferential tariff treatment enabled by the ART, Taiwanese enterprises are now able to compete on a level playing field.

With respect to the MOU, it covers approximately three-quarters of total bilateral trade value and encompasses products in which Taiwan holds particular competitive strengths or strategic importance, including semiconductors and related products, as well as automotive and aerospace components. These products will be granted the most favorable treatment under potential U.S. Section 232 measures. This significantly reduces uncertainty in U.S.–Taiwan economic and trade relations, encourages multinational enterprises to pursue investments in both markets in parallel, and deepens the strategic partnership on supply chain. Such outcomes further enhance Taiwan’s bargaining position in seeking optimal treatment amid shifts in the global trade and economic environment.

In light of the recent U.S. Supreme Court ruling that reciprocal tariffs were inconsistent with the original statutory authorization, and the subsequent shift by the U.S. administration to Section 122 measures alongside the continued launch of Section 301 investigations, AmCham Taiwan understands that a new round of negotiations between Taiwan and the United States will ensue. Given the critical role of the ART and the Investment Cooperation MOU in strengthening Taiwan’s industrial competitiveness, reinforcing U.S.–Taiwan supply chain partnerships, and promoting bilateral investment, AmCham Taiwan urges the government to proactively seek the continuation of these hard-won achievements in future negotiations and to advance mutually beneficial U.S.–Taiwan economic and trade relations on a sustained and positive trajectory.

2. Commending the Government’s Responses to the International Energy Situation and Calling for Continued Measures to Ensure Energy Supply Stability, Price Stability, and Enhanced Energy Resilience

Taiwan’s energy resilience is closely linked to several structural factors: its heavy reliance on energy imports, a challenge shared with other island countries; while import sources have gradually diversified, they remain relatively concentrated in specific regions and countries; the energy and power generation mix relies primarily on natural gas and coal, yet infrastructure deployment—such as liquefied natural gas (LNG) receiving terminals—must keep pace with rising demand; and the share of domestically self-sufficient renewable energy remains relatively low, limiting its effectiveness in reducing dependence on imported energy.

Taken together, recent geopolitical instability and disruptions to international energy supplies have become a stress test for Taiwan’s energy resilience and has attracted heightened concern within the business community.

AmCham Taiwan highly commends the government’s swift and effective responses to current international energy supply uncertainties, including measures to ensure energy availability, stabilize prices, and maintain financial order. In the face of ongoing geopolitical tensions, continued efforts to ensure stability across essential goods, prices, and financial conditions will help sustain confidence in Taiwan’s investment environment and demonstrate Taiwan’s capacity and resilience in responding to geopolitical challenges.

As Taiwan advances its Ten AI Infrastructure Initiatives, reliable, affordable, and resilient energy has become a strategic foundation for AI-driven growth and Taiwan’s leadership in advanced industries and digital transformation.

In this light AmCham Taiwan recommends that the government adopt the following short-, medium-, and long-term measures to further strengthen Taiwan’s energy resilience:

1. Short term: Continue implementing relevant measures to ensure adequate energy supply and avoid volatility in energy and electricity prices, thereby maintaining overall price stability and sustaining public and industrial confidence.
2. Medium term: Continue promoting diversification of energy sources and increasing the share of domestically supplied energy and power generation, in order to reduce exposure to international geopolitical risks.
3. Long term: Actively advance the development of critical infrastructure related to energy supply and power generation, including fuel receiving terminals, distributed power grids, and power plants. The timely and sufficient completion of such infrastructure will not only enhance energy security and resilience, but is also a necessary condition for meeting the growing electricity demand associated with future artificial intelligence and digital infrastructure development in Taiwan.

Looking ahead, at this pivotal moment for Taiwan amid evolving global trade dynamics and energy transition efforts, continued engagement with global partners and proactive strengthening of industrial and energy resilience are essential for maintaining steady progress in a rapidly changing international environment. AmCham Taiwan firmly believes that, through close collaboration between government and industry, Taiwan can seize emerging opportunities, build a more competitive and sustainable future, and continue to serve as an indispensable partner in the regional and global economy.

For more information, please contact:
Celine Fahn
Director of Government & Public Affairs
02-27188226 ext. 315
[email protected]

Fernando Chen
Senior Manager of Government and Public Affairs
02-27188226 ext. 213
[email protected]

Media contact:
Christine Huang (CH)
Communications Manager
02-27188226 ext. 313
[email protected]