US, Taiwan reach trade deal focused on semiconductors, Commerce Department says

The U.S. and Taiwan have a reached a trade deal that the U.S. Commerce Department said on Thursday would drive a "massive reshoring of America's semiconductor sector."



Under the deal, the U.S. reciprocal tariff rate on Taiwanese goods would be capped at 15%, according to the Commerce Department.



The U.S. will also apply a zero percent tariff for generic pharmaceuticals and their ingredients, aircraft components and "unavailable natural resources."



Taiwanese semiconductor and technology companies will also make investments totaling at least $250 billion to increase production in the United States, the fact sheet said.