Taiwan IEEPA Tariffs: 32% Rate on the World’s Chip Hub
Taiwan received a 32% IEEPA reciprocal tariff effective April 5, 2025. At this rate and given Taiwan’s role as the world’s leading semiconductor manufacturer, the absolute dollar value of IEEPA duties collected on Taiwanese goods was enormous. The United States imports tens of billions of dollars in electronic components, semiconductors, and computer hardware from Taiwan annually.
Taiwan’s Position in Global Supply Chains
Taiwan’s economic export profile is dominated by semiconductors and electronics. TSMC (Taiwan Semiconductor Manufacturing Company) alone produces chips used in virtually every category of technology product — smartphones, PCs, servers, automotive electronics, industrial equipment, and military systems. Other major Taiwanese exporters include ASE Group (semiconductor packaging), Foxconn (electronics assembly), Pegatron, and hundreds of smaller component manufacturers.
For U.S. technology companies and electronics importers, Taiwan is an irreplaceable part of the supply chain. The 32% IEEPA tariff on Taiwanese goods was one of the most disruptive elements of the entire IEEPA program for the technology sector.
No FTA Complications
The United States does not have a formal free trade agreement with Taiwan (the political situation regarding Taiwan’s status makes a standard FTA difficult). There are no FTA exemptions to navigate. All Taiwanese-origin entries with IEEPA duties assessed during April 5, 2025–February 20, 2026 are eligible for CAPE refunds.
Key Product Categories
Semiconductors and ICs (Chapter 85, specifically 8542): Integrated circuits, processors, memory chips, FPGAs, and other semiconductor devices. These are typically high-value imports with significant per-entry duty amounts.
Electronic Components (Chapter 85): Capacitors, resistors, connectors, diodes, transistors, and other components (HTS 8533–8541).
Computer Hardware (Chapter 84): Motherboards, server equipment, networking hardware, storage devices.
Printed Circuit Board Assemblies: Complex assemblies that combine multiple components.
Telecommunications Equipment: Network switches, routers, base station equipment.
Estimating Your Taiwan Refund
At 32%, the per-dollar refund rate for Taiwanese goods is significant. An electronics company that imported $5 million in Taiwanese semiconductors and components during the 10-month IEEPA window has an estimated duty refund of $1.6 million, plus estimated interest. For large technology importers, this can be a transformative cash recovery.
Filing Considerations
Taiwanese goods are generally straightforward for CAPE filing — clear country of origin, no FTA complications, and the duties typically appear as a single IEEPA line on the 7501 without Section 301 overlap (Taiwan is not subject to Section 301 tariffs, which are China-specific).
Pull your 7501s, confirm Taiwanese origin and IEEPA duty amounts, and prepare your CAPE CSV. This is one of the cleaner filing situations in the entire IEEPA refund landscape.