Trump to Shift Focus to Currency War, Taiwan Should Strengthen Economy
During the forum ‘100 Days of Trump: Has a New World Order Been Established?’, Huang Chih-fang, chairwoman of the Foreign Trade Association, indicated that President Donald Trump may transition to a ‘currency war’ strategy to reshape the global economic order. She believes Taiwan can capitalize on the appreciation of the New Taiwan Dollar to expand overseas and establish a sovereign fund to adjust its economic structure.
Huang explained that Trump’s tariff policy aims for the re-industrialization of the U.S., but this goal isn't achievable overnight, likely leading to short-term chaos. If inflation worsens, Trump may reconsider his tariff measures.
She emphasized that Taiwan should leverage the appreciation of its currency to diversify investments abroad while boosting domestic consumption. Moreover, participation in finance and technology is crucial, thus establishing a sovereign fund is essential.
