The Executive Yuan and the Legislative Yuan held a meeting April 7 to discuss measures to alleviate the impact of the recent 32 percent tariff levied by the U.S. on goods from Taiwan, EY spokesperson Hui-chih Michelle Lee said.
According to Lee, Premier Cho Jung-tai expressed hope during the meeting that the LY would support the EY’s new initiative budgeted at NT$88 billion (US$2.65 billion). Based on existing policies supporting the agricultural and manufacturing industries, the raft of 20 measures further relaxes certain restrictions and simplifies relevant subsidy application processes for those affected by the tariff, she said.
Cho also instructed the Cabinet-level National Development Council to draft updated medium- and long-term economic development plans, Lee said, adding that other ministries and agencies have already proposed strategies, such as the Ministry of Labor’s new project to stabilize employment.
Additionally, the government will launch trade measure negotiations, increase the purchase of U.S. goods, expand investment in the U.S. and address issues including dumping by other countries, Cho said, adding that the country anticipates the talks will successfully lower the tariff and strengthen Taiwan-U.S. cooperation.
The Ministry of Finance released a statement the same day that said the National Financial Stabilization Fund has not ruled out the possibility of convening a special committee meeting to discuss countermeasures and ways to reduce stock market volatility.
The Financial Supervisory Commission further announced a series of market-stabilizing measures implemented April 7-11, according to the MOF. These include permitting investors, with the consent of financial institutions or securities firms, to use alternative forms of collateral that are liquid and can be objectively and reasonably valued to cover any shortfall in the required reserve for margin financing or short selling.
The MOF concluded by pledging to continue shoring up investor confidence and stabilizing the domestic capital market. (YCH-E)
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