台湾与美国和全球经济贸易联系的演变（英）-ITIF-2021.10-45页_772kb

Summary of "The Evolution of Taiwan's Trade Linkages With the U.S. and Global Economies"

Core Content

This report analyzes the evolving economic, trade, and innovation linkages between Taiwan and the United States, as well as Taiwan's role in global value chains (GVCs). It emphasizes the importance of these relationships in supporting advanced technology industries and outlines policy recommendations to strengthen them.

Main Points

• Economic Interdependence: The U.S. and Taiwan have a highly complementary and interdependent trade relationship, particularly in advanced technology sectors.
• Advanced Technology Sectors: Taiwanese companies are key suppliers to U.S. "Tier 1" OEMs, especially in semiconductors, ICT, and electric vehicles (EVs).
• GVC Participation: Taiwan is a critical node in global supply chains, with 70% of its GDP relying on exports, making it the seventh-most trade-dependent economy in GVCs.
• U.S. Trade with Taiwan: In 2019, U.S.-Taiwan goods and services trade totaled $103.9 billion, with a trade deficit of $19.3 billion. Despite this, Taiwan's exports contribute significantly to U.S. value-added manufacturing.
• FDI and Job Creation: Taiwanese FDI in the U.S. reached $47 billion by 2019, supporting 19,100 U.S. jobs and contributing $1.6 billion to U.S. goods exports annually.
• Reshoring Impact: Reshoring initiatives have increased U.S. semiconductor supply chain resilience, with TSMC investing $12 billion in Arizona and planning a $25 billion second facility.
• Global Trade Trends: Taiwan's share of global exports and imports has declined slightly over the past two decades, but it remains a vital player in GVCs, especially in semiconductors.
• China's Role: China has become Taiwan's largest trading partner, but its contribution to value added in Taiwanese exports has not increased substantially.
• Policy Recommendations: The report suggests several actions to enhance U.S.-Taiwan economic ties, including a comprehensive FTA, joining the CPTPP, increasing STEM education exchange, and promoting innovation collaboration.

Key Information

U.S.-Taiwan Trade Overview

• In 2019, the U.S. exported $42.3 billion worth of goods and services to Taiwan and imported $61.6 billion, resulting in a trade deficit of $19.3 billion.
• Taiwan supplied more exports for U.S. GVCs than Indonesia, the Philippines, and Thailand combined.
• 86% of Taiwan's exports to the U.S. are intermediate goods used in U.S. manufacturing.
• In 2020, Taiwan ran a trade surplus of over $17 billion in value-added exports across six high-tech industries.

Global Trade Position

• Taiwan's share of global exports fell from 2.3% in 2000 to 1.8% in 2019, but its role in GVCs remains significant.
• From 2005 to 2015, the domestic value added in Taiwan's exports declined slightly, but this reflects its integration into global value chains.
• By 2015, domestic value added in Taiwan's manufacturing and electronics sectors rose to about 70% of total gross exports.

Semiconductor Industry

• Taiwan is a global leader in semiconductor manufacturing, accounting for 22% of global semiconductor manufacturing capacity.
• It holds 92% of global production for logic chips at process nodes less than 10 nm.
• TSMC is the world's largest foundry, contributing over half the global market for made-to-order chips.
• TSMC's investment in Arizona ($12 billion) and potential $25 billion second facility will further solidify U.S.-Taiwan semiconductor linkages.

Policy Recommendations

• U.S.-Taiwan Free Trade Agreement: A comprehensive FTA would enhance economic and employment benefits for both nations.
• Join the CPTPP: The U.S. should join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) with South Korea and Taiwan.
• Innovation Collaboration: Establish an innovation experts working group to enhance cooperation in AI, IoT, semiconductors, and biotechnology.
• Sovereign Wealth Fund (SWF): Develop a strategic SWF to support high-tech industries.
• Supply Chain Security: Collaborate on semiconductor export controls and supply chain security.
• STEM and Research Exchange: Increase STEM education exchange and public research investment.
• Digitalization: Promote digitalization in manufacturing and complement hardware strengths with software development.

Conclusion

The U.S.-Taiwan trade relationship is mutually beneficial and crucial for global technology supply chains. Strengthening this relationship through policy reforms and enhanced collaboration can lead to greater economic resilience and innovation. The report advocates for a more comprehensive and strategic approach to deepen these linkages and ensure continued mutual prosperity.