Taiwan’s government will soon look at whether it needs to help its domestic industry over threats by President Donald Trump to put tariffs on semiconductors, Premier Cho Jung-tai said on Wednesday.

Premier Cho Jung-tai said the island’s government would look for ways to maintain the island’s ‘leading position’.

While the tariffs aim to boost domestic manufacturing, they are unlikely to divert production from Asia immediately.

In TSMC’s case, this is in the form of a $12 billion semiconductor factor in Arizona, supporting by a $6.6 billion CHIPS Act subsidy won last year. Since then, the semiconductor giant has pledged to build two more facilities in Arizona, bringing the company’s total planned investment to around $65 billion.

Taiwan's government will soon look at whether it needs to help its domestic industry over threats by U.S. President Donald Trump to put tariffs on semiconductors, Premier Cho Jung-tai said on Wednesday.

Though the United States is the global leader in designing chips, the vast majority of chip production happens overseas, particularly in U.S.-ally Taiwan.

Donald Trump called for tariffs on foreign computer chips, semiconductors, and pharmaceuticals from places like Taiwan in the near future.

Semiconductor business between Taiwan and the United States is a "win-win" model for both sides given the high level of complementarity, the island's economy ministry said on Tuesday responding to tariff threats from U.