Lutnick warns Taipei to keep Trump ‘happy’ as US chip deal draws Beijing rebuke
Trade official says island must stay in Trump’s favour for protection, but says he still plans an April China visit amid good ties with Xi
Blending economic nationalism with geopolitical leverage, US President Donald Trump’s top trade official delivered a pointed message to Taiwan shortly after Washington announced an ambitious deal on Thursday to bring critical technology manufacturing, including semiconductors, back to the United States.
US Commerce Secretary Howard Lutnick framed the massive reshoring initiative as not just a business transaction, but as a strategic imperative for Taiwan to maintain favour with the “America first” leader.
The agreement commits Taiwan companies to as much as US$500 billion in semiconductor, energy and AI investments in the US, including at least US$250 billion in direct spending and a further US$250 billion in credit guarantees to support supply chains and industrial clusters.
“They need to keep our president happy, right? Because our president is the key to protecting [Taiwan],” Lutnick said in an interview with American business news outlet CNBC.
Describing the agreement as a “gigantic commitment to onshoring in America”, he added, “why would they do this?”
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“And the answer is because Donald Trump is vital to protecting them. And so they want to keep our president happy, right?” Lutnick said.