US Trade Deficit With Taiwan Could Reach US$200B in 2026

The U.S. trade deficit with Taiwan is projected to exceed $200 billion by 2026, following a record monthly increase of $20.7 billion in July. While the Trump administration may seek to address this imbalance, the U.S. remains heavily dependent on Taiwanese semiconductors. In response, the U.S. is preparing new semiconductor tariffs to encourage domestic chip production.