In response to US tariffs on Taiwanese imports that went into effect today, Premier Cho Jung-tai (卓榮泰) today directed all ministries and agencies to support affected industries, pending the implementation of a special budget.
Companies negatively impacted by the 20-percent US tariff on Taiwanese goods can apply for the relief program starting today, part of the government’s strategy of providing immediate assistance followed by long-term planning.
On July 11, the Legislative Yuan passed the third reading of the government’s Special Act for Strengthening Economic, Social and National Security Resilience in Response to International Circumstances (因應國際情勢強化經濟社會及國土安全韌性特別條例), in response to US tariffs.
Photo: Chung Li-hua, Taipei Times
The act has a total ceiling of up to NT$545 billion (US$18.31 billion) in spending, which includes a NT$10,000 cash payment to citizens, in addition to NT$150 billion for whole-of-society defense resilience, NT$93 billion for industry and employment support, and NT$67 billion for social support.
On the question of what is to be included in the Executive Yuan’s budget proposal, it said that other than adjustments to the industrial support program, the budget is to be based on what the legislature previously passed.
Cho said the government remains in discussions with the US on issues like reciprocal tariffs and supply chain cooperation.
In a news conference today, Executive Yuan spokesperson Michelle Lee (李慧芝) said that the special budget was not part of today’s meeting pending some adjustments that need to be made to the industrial support plan.
The rest of the special act would remain unchanged, she added.
On Thursday last week, Lee said that the Executive Yuan would ask the constitutional court to review the cash handout provision of the special act.
In response to questions about that announcement, Lee today said that the Executive Yuan would continue to communicate and work through legal channels.
The government does not have an unlimited budget, Democratic Progressive Party caucus chief executive Rosalia Wu (吳思瑤) said.
There are still questions that remain unanswered, such as whether wealthy families would be excused from the cash payment and the constitutionality of the special act, Wu said.
Additional reporting by Chen Cheng-yu
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