TAIPEI, Nov 13 Reuters Taiwan39;s central bank warned on Wednesday that it sees peril in the proposed trade policies of the incoming administration of U.S. Presidentelect Donald Trump.
In a report to parliament ahead of governor Yang Chinlong taking questions from legislators on Thursday, the central bank said that if Trump follows through on his policy promises, it would escalate trade conflicts throughout the world, and stifle competition in the tech industry.
The map of global trade is in the process of being redrawn, the report said, and will likely affect Taiwan39;s export momentum in the future.
The central bank said that the aggressive tariff policy Trump promised on the campaign trail would be the most impactful trade policy of the incoming administration, if implemented.
A threat by Trump, who will take office in January, to impose tariffs of 60 on U.S. imports of Chinese goods poses major growth risks for China, the world39;s secondlargest economy and Taiwan39;s top trading partner.
Trump also floated the idea of a 10 universal tariff on all U.S. imports.
Taiwan was a target of Trump39;s rhetoric in the 2024 campaign. Trump suggested that Taiwan, under threat from China which claims the island as its own territory, should pay for the protection of the U.S. and accused Taiwan of poaching the U.S. semiconductor industry.
The new U.S. trade policies under Trump could impact Taiwan39;s financial outlook through multiple channels, the report said.
The…