The United States and Taiwan reached a trade deal cutting tariffs on Taiwanese goods in exchange for $250 billion in new investments in U.S. technology industries.

The United States and Taiwan reached a trade deal on January 15, 2026 that cuts tariffs on Taiwanese goods in exchange for $250 billion in new investments in the U.S. tech industry. Taiwan’s executive branch said the island’s companies would invest $250 billion in semiconductors, artificial intelligence applications, and energy. The U.S. Department of Commerce said the agreement would establish an “economic partnership” and create U.S.-based industrial parks to build up domestic production. The Commerce Department said certain imports from Taiwan, including generic pharmaceuticals and aircraft components, will be exempted, and Taiwanese semiconductor producers investing in the U.S. will receive favorable tariff treatments including exemptions.