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Trump’s transactional foreign policy fuels ‘US scepticism’ in Taiwan

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The Taiwan flag flutters in front of the Taipei 101 building in Taipei on July 2, 2025. (Photo by I-Hwa Cheng / AFP)

There are concerns that Taiwan is being used as a bargaining chip in US trade talks with China, which claims the island as its territory.

PHOTO: AFP

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Pressure is mounting for Taipei to finalise a trade agreement with Washington and lower tariff rates as soon as possible – and it is not just for economic reasons.

The fact that Taiwan has yet to secure a favourable US tariff rate for its exports – despite being one of the first and most eager territories to start talks – has raised questions about President Lai Ching-te’s relationship with not only one of the island’s largest trading partners, but also its most important security backer. 

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