A new investment initiative matches Taiwanese enterprises with U.S. markets

OPINION:

Mutual expressions of goodwill evoke a welcome measure of fellowship. Far stronger, though, are the bonds built when warm words are backed up with substantial teamwork.

Taiwan, an extraordinary sovereignty that has embodied the ideals of freedom and prosperity so richly endowed upon the United States, is moving to institutionalize a Taiwan-U.S. alliance with a new trade initiative.

Given the reality of today’s dangerous world — particularly the precarious position of an island nation dwelling in the shadow of the Indo-Pacific-dominant China — thriving economic ties between Taiwan and the United States make both nations stronger and safer.

Tuesday marks the start of that fresh enterprise, a product of the Taiwanese Chambers of Commerce of North America, which builds on the recently signed U.S.-Taiwan Trade and Tariff Initiative. Its aim is to assist in matching Taiwanese enterprises with Washington’s move toward manufacturing reshoring, supply chain restructuring and bolstering of industries related to national security.

Faced with multiple challenges related to regulatory systems, legal frameworks, cultural differences and integration of local resources, the Taiwanese Chambers of Commerce of North America’s intended role is to serve as the most trusted bridge between Taiwanese enterprises and U.S. markets.

In a world that has never been more interconnected, the reshoring of industry to home locales and the shortening of supply chains have, ironically, never been more important.

The hostilities currently consuming the Middle East have made this abundantly clear. The Islamic Republic of Iran shows every intention of redressing its military weakness by deploying its singular strength: the capability to threaten the global economy by wreaking havoc on crucial oil and cargo shipping transiting the nearby Strait of Hormuz.

As Iran suffers the consequences of a half-century of unbridled aggression, it is selfishly forcing its regional neighbors, and innocents the world over, to share its pain.

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Consequently, supply chains that stretch across thousands of miles of dangerous waters are no sturdier than their weakest link. It was smart foresight that prompted President Trump to preemptively campaign to awaken U.S. industry to the critical necessity of forswearing the economic advantage of relocating overseas in favor of reinforcing Americans’ security at home.

The Taiwanese Chambers of Commerce of North America initiative prioritizes key industry sectors that align with U.S. national policy directions and leverage Taiwan’s long-standing competitive advantages. These include artificial intelligence and the semiconductors that serve as the nervous system of smart technology, clean-energy production and storage that makes possible the burgeoning utility of electric vehicles, biotechnology and medical devices that safeguard human health, critical pharmaceuticals and ingredients related to strategic supply chain deployment, and next-generation defense technologies so successfully demonstrated by the deployment of unmanned aerial vehicles.

It should go without saying that the United States regards these industries as core sectors critical to supply chain security, national security and global competitiveness.

It’s equally well known that Taiwanese enterprises possess strong complementarities in technology, manufacturing and supply chain management.

Policy, of course, must be backed by practicality, and the Taiwanese Chambers of Commerce of North America has a long-standing North American business network. Accordingly, the organization is poised to assist in matching Taiwanese companies with relevant U.S. industries, supply chain partners and strategic collaborators, based on industry characteristics and investment objectives.

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Owing to its American roots, the Taiwanese Chambers of Commerce of North America possesses the know-how to work with companies on market entry strategies, state-level differences, regulatory frameworks, tax structures and labor systems. Its network of 38 chambers across North America means the organization can provide on-the-ground support with local-market intelligence, government access and business-landing support.

All these capabilities are essential elements for cementing the Taiwan-U.S. trade link, but putting the framework in place is only the first step. In the aftermath of the signing of the U.S.-Taiwan Trade and Tariff Initiative, Taiwanese enterprises are now entering a critical window period while facing multiple challenges related to regulatory systems, legal frameworks, cultural differences and the integration of local resources.

The real key lies in turning investments into rapidly executable, implementable and sustainable business models. Consequently, when planning time gives way to “go” time, industry can rely on ready help with execution of site selection, recruitment, operations and expansion.

The Taiwanese Chambers of Commerce of North America looks forward to assisting Taiwanese companies in making high-value-added, long-term investments in the United States, not merely establishing facilities but also actively participating in U.S. industrial upgrading and global supply chain restructuring.

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In this era of global tension, both Taiwan and the United States stand to benefit in freedom and prosperity from their budding partnership in trade and trust.

• Eugenia Henry is president of the Taiwanese Chambers of Commerce of North America.