Importing From Taiwan: 2026 US Tariff Rates, Trade Deal & Customs Guide

Taiwanese goods entering the US currently face a 10% Section 122 tariff on top of the product's base MFN rate. That's actually lower than the 15% ceiling set by the US-Taiwan Agreement on Reciprocal Trade (ART), signed February 12, 2026 — which means importers are getting a better deal than the bilateral agreement requires, at least until Section 122 expires around July 24.

Taiwan's tariff situation is unique among US trading partners. It's the only country with a comprehensive bilateral trade deal under the current administration, and the deal is anchored by a $250 billion semiconductor investment commitment that reshaped the entire negotiation. For importers, the practical question is straightforward: what do I pay today, and what might change?

By VatCheck Research Team. Sources: USTR, Commerce Department, US Census Bureau, Taiwan Ministry of Finance.

The Full Tariff Rate Timeline: Four Rates in 12 Months

Taiwan has had more tariff rate changes than almost any other US trading partner since mid-2025. If you're confused about what rate applies, you're not alone.

| Date | Authority | Rate | Status | |---|---|---|---| | Pre-July 2025 | MFN only | 0–12% (varies by product) | Normal trade | | July 5, 2025 | IEEPA | 32% on top of MFN | Reciprocal tariffs on 50+ countries | | Oct 15, 2025 | IEEPA (revised) | 20% on top of MFN | Reduced during trade negotiations | | Jan 15, 2026 | US-Taiwan ART signed | 15% cap (not yet effective) | Deal announced, pending implementation | | Feb 12, 2026 | US-Taiwan ART finalized | 15% cap formalized | Official signing | | Feb 20, 2026 | Supreme Court | MFN only (briefly) | Learning Resources v. Trump strikes down IEEPA | | Feb 24, 2026 | Section 122 | 10% on top of MFN | White House invokes Trade Act §122 |

The punchline: The bilateral deal caps Taiwan's rate at 15%, but Section 122 sets a 10% rate for all countries. Since 10% < 15%, Section 122 is what actually applies right now. The bilateral deal functions as a ceiling, not a floor — if Section 122 expires in July, the deal's 15% cap prevents Taiwan's rate from going higher (unless the administration negotiates otherwise).

Importers who paid the 32% or 20% IEEPA rates are eligible for refunds through CBP's CAPE portal. Given Taiwan's $201 billion in US imports in 2025, refund amounts could be substantial.

Estimate your duty with our tariff calculator →

What's in the US-Taiwan Agreement on Reciprocal Trade

The ART, signed January 15 and finalized February 12, 2026, is the most significant US-Taiwan trade agreement in decades. It's also fundamentally different from any other recent trade deal because it's built around semiconductor investment. Here are the provisions that matter for importers:

Tariff Provisions

General tariff cap: 15% all-in rate on Taiwanese goods (currently superseded by the lower 10% Section 122)
Zero tariff categories: Generic pharmaceuticals, their active ingredients, aircraft components, and "unavailable natural resources"
Section 232 cap: Auto parts, timber, lumber, and wood derivatives from Taiwan face no more than 15% total (even where Section 232 would otherwise impose 25–50%)

Semiconductor Investment Deal

This is what made the whole agreement happen. Taiwan committed to:

$250 billion in direct semiconductor and technology investment in the US
$250 billion in Taiwan government credit guarantees to support those investments
Construction incentive: During approved construction periods, Taiwanese chipmakers can import up to 2.5x their planned US production capacity without paying Section 232 duties
Ongoing incentive: After construction, they can import 1.5x their new US production capacity Section 232-free

TSMC, MediaTek, and other major Taiwanese firms are the primary targets. TSMC alone has committed to expanding its Arizona fabs — the $65 billion investment announced in 2024 is part of this larger framework.

Taiwan's Commitments

Taiwan agreed to eliminate or reduce 99% of its tariff barriers over three years, including:

Immediate zero tariffs on US beef, dairy, corn, and agricultural products
Passenger vehicle tariff: Cut from 17.5% to 0% immediately
Swine tariff: Phased to zero over three years
Long-term purchases: $44.4 billion in LNG and crude oil, $15.2 billion in aircraft, $25.2 billion in power equipment and industrial goods (2025–2029)

Product-Specific Duty Rates

Taiwan exported $201.4 billion in goods to the US in 2025 — making it the 5th-largest source of US imports. Here's what you'll pay on the major categories:

Semiconductors & Integrated Circuits (HTS 8541–8542) — Taiwan's Dominant Export

Taiwan produced over $165 billion in semiconductor exports globally in 2024. It's the foundational product of the US-Taiwan trade relationship.

| Product | HTS Code | MFN Rate | Section 122 | Total | |---|---|---|---|---| | Integrated circuits, processors | 8542.31 | Free | 10% | 10% | | LEDs and photosensitive devices | 8541.41 | Free | 10% | 10% | | Transistors (>1W) | 8541.21 | Free | 10% | 10% | | Memory chips (DRAM/NAND) | 8542.32 | Free | 10% | 10% |

Key insight: Most semiconductors enter the US at 0% MFN under the Information Technology Agreement (ITA). The 10% Section 122 surcharge is the entire tariff burden. Under IEEPA, these same chips faced 20–32% — the Section 122 shift saved the US electronics supply chain billions.

Important note on the 25% global semiconductor tariff: In early 2026, the US classified semiconductor imports as a national security risk and imposed a 25% global Section 232 tariff. However, the US-Taiwan ART provides Taiwanese chipmakers with carve-outs tied to US investment — firms completing US fab construction can import 1.5x their new capacity at 0% Section 232. This makes Taiwan's effective semiconductor tariff lower than competing suppliers like South Korea or Japan who don't have bilateral deals.

Computer Equipment & Electronics (HTS 8471, 8473) — Second-Largest Category

| Product | HTS Code | MFN Rate | Section 122 | Total | |---|---|---|---|---| | Laptop computers | 8471.30 | Free | 10% | 10% | | Computer parts (PCBs, etc.) | 8473.30 | Free | 10% | 10% | | Monitors and displays | 8528.52 | Free | 10% | 10% | | Network equipment (routers) | 8517.62 | Free | 10% | 10% |

Again, ITA-covered products have 0% MFN, so Section 122 is the only duty layer.

Machinery & Mechanical Appliances (HTS Chapter 84)

| Product | HTS Code | MFN Rate | Section 122 | Total | |---|---|---|---|---| | CNC machine tools | 8458.11 | 4.4% | 10% | 14.4% | | Injection molding machines | 8477.10 | 3.1% | 10% | 13.1% | | Pumps and compressors | 8414.80 | 2.5% | 10% | 12.5% | | Ball bearings | 8482.10 | 9% | 10% | 19% |

Machinery has moderate MFN rates (2–9%), and the 10% Section 122 adder brings most items to the 12–20% range.

Auto Parts (HTS 8708) — Covered by Special ART Provision

| Product | HTS Code | MFN Rate | Section 122 | ART Cap | Effective Rate | |---|---|---|---|---|---| | Brake parts | 8708.30 | 2.5% | 10% | 15% max | 12.5% | | Transmission parts | 8708.40 | 2.5% | 10% | 15% max | 12.5% | | Body stampings | 8708.29 | 2.5% | 10% | 15% max | 12.5% |

The ART caps total tariffs on Taiwanese auto parts at 15%, protecting importers even if Section 232 auto tariffs (25%) would normally apply. This makes Taiwan a preferred sourcing origin for auto parts versus countries without bilateral deals.

Plastics & Rubber (HTS Chapters 39–40)

| Product | HTS Code | MFN Rate | Section 122 | Total | |---|---|---|---|---| | Polyethylene (HDPE) | 3901.20 | 6.5% | 10% | 16.5% | | Plastic articles, other | 3926.90 | 5.3% | 10% | 15.3% | | Synthetic rubber | 4002.19 | Free | 10% | 10% |

Taiwan vs. Alternative Sourcing Countries

One of the most practical questions importers ask: is Taiwan still competitive after tariffs? Here's how the effective rates compare for key product categories:

| Product | Taiwan | China | South Korea | Vietnam | Japan | |---|---|---|---|---|---| | Semiconductors | 10% | 10% + 25–100% §301 | 10% + 25% §232 | 10% | 10% + 25% §232 | | Computer parts | 10% | 10% + 25% §301 | 10% | 10% | 10% | | Auto parts | 12.5% (ART cap 15%) | 12.5% + 25% §301 | 12.5% | 12.5% | 12.5% | | Machinery (avg) | 14% | 14% + 7.5–25% §301 | 14% | 14% | 14% |

Bottom line: Taiwan has clear tariff advantages over China for any product subject to Section 301. For semiconductors specifically, Taiwan's ART investment incentives create an even larger gap. Against South Korea, Japan, and Vietnam, Taiwan's rates are similar for most goods — the differentiator is the semiconductor carve-out and auto parts cap.

Section 301 is NOT applicable to Taiwan. This is a crucial distinction. While 76 economies face Section 301 investigations (including South Korea, Japan, and Vietnam), Taiwan is not currently under investigation in either the forced labor or overcapacity tracks. This makes Taiwan a more predictable sourcing option.

How to Calculate Your Total Duty

Find your HTS code — Use our HTS code lookup
Check MFN rate — Most electronics are 0% (ITA), machinery is 2–9%, plastics are 3–7%
Add Section 122 — 10% on customs value
Check Section 232 — Steel/aluminum/copper: 25–50%, but Taiwan ART may cap at 15% for some categories
Add fees — MPF (0.3464%, max $614.35) + HMF (0.125% for ocean)

Worked Example: Importing Integrated Circuits From Taiwan

Customs value (CIF): $500,000

| Component | Rate | Amount | |---|---|---| | MFN duty (HTS 8542.31) | 0% | $0 | | Section 122 surcharge | 10% | $50,000 | | MPF | 0.3464% | $614.35 (cap) | | HMF (ocean freight) | 0.125% | $625 | | Total duty + fees | | $51,239.35 | | Effective rate | | 10.25% |

Under IEEPA at 32%, that same shipment would have cost $161,239.35 in duties — a $110,000 difference. If you paid IEEPA rates, file for your refund through CAPE.

Calculate your specific duty →

What Happens After July 24: Section 122 Expiration Scenarios

Section 122 has a 150-day statutory limit. Here are the three most likely outcomes:

Congressional extension at 10%: Most likely. Bipartisan support for maintaining current rates while permanent framework is debated.
Rate rises to 15%: The ART cap kicks in. Taiwan's tariff increases by 5 percentage points. Electronics importers would see the biggest dollar impact.
Revert to MFN-only: Unlikely but possible if Congress deadlocks. Taiwan would get the best tariff treatment of any major trading partner — effectively 0% on most electronics.

The ART acts as insurance: no matter what happens with Section 122, Taiwan's rate can't exceed 15% under the bilateral agreement.

Compliance & Documentation

Standard requirements for Taiwanese imports:

Commercial invoice with complete product descriptions and transaction value
Bill of lading or airway bill
Packing list
Customs bond — Required for all commercial imports over $2,500
ISF filing — 24 hours before vessel departure, handled by your broker or importer of record
Certificate of origin — Will become critical if/when ART rates drop below Section 122 (not yet the case)
For semiconductors: End-use certificates may be required for certain advanced chips under export control coordination with Taiwan

Key Dates for Taiwan Importers in 2026

| Date | Event | Impact | |---|---|---| | Jan 15 | US-Taiwan ART announced | 15% tariff cap, $250B semiconductor investment | | Feb 12 | ART formally signed | Deal is official | | Feb 20 | SCOTUS strikes IEEPA | IEEPA tariffs voided, refund process begins | | Feb 24 | Section 122 takes effect | 10% rate replaces IEEPA (lower than ART 15%) | | Jul 24 | Section 122 expires | Rate reverts to ART 15% or Congress extends | | 2026–2029 | Taiwan agricultural tariff phase-out | 99% of Taiwan barriers eliminated over 3 years |

Frequently Asked Questions

What is the current US tariff rate on Taiwanese goods?

The effective rate is the product's MFN tariff (0% for most electronics, 2–9% for machinery) plus 10% Section 122. For semiconductors and computers, the total is typically 10%. For machinery and industrial goods, expect 12–19% total.

How does the US-Taiwan trade deal affect import costs?

Currently, Section 122 (10%) is lower than the ART cap (15%), so the deal doesn't directly reduce tariffs yet. The deal matters as insurance — it caps Taiwan's rate at 15% maximum regardless of what happens with Section 122. It also provides semiconductor-specific investment incentives that lower effective rates for chipmakers.

Are semiconductors from Taiwan subject to tariffs?

Yes — 10% under Section 122, despite having 0% MFN rates. However, Taiwanese chipmakers with qualifying US production investments can import up to 1.5x their US capacity without paying the 25% global Section 232 semiconductor tariff. This makes Taiwan the lowest-tariff source for semiconductors among major exporters.

Is Taiwan subject to Section 301 tariffs?

No. Taiwan is not under Section 301 investigation in either the forced labor (60 economies) or overcapacity (16 economies) tracks. This is a significant advantage over China, Vietnam, South Korea, and most other Asian suppliers, which all face Section 301 exposure.

How do I calculate my total duty on Taiwanese imports?

Look up your HTS code, find the MFN rate, add 10% Section 122, check for Section 232 applicability (steel/aluminum/copper), and add MPF + HMF fees. Use our tariff calculator for the quick version. Most electronics total around 10%, machinery around 14%, and plastics around 15%.

When does the Section 122 tariff expire?

Section 122 has a 150-day limit, expiring around July 24, 2026. After that, Taiwan's rate would default to the ART cap of 15% unless Congress extends Section 122. The administration has signaled rates may rise to 15% even before expiration.