Semiconductor business between Taiwan and the United States is a "win-win" model for both sides given the high level of complementarity, the government said on Tuesday in response to tariff threats from U.

Taiwan, home to the world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing Co. (TSMC), plays a crucial role in the global technology supply chain, serving major companies like Apple and Nvidia.

Taiwan's government has been swift to respond to the talk of huge tariffs by the recently inaugurated 47th president of the United States.