US President Donald Trump has declared tariffs on Canadian, Mexican and Chinese imports. This is affecting Taiwanese producers with Mexican operations, which are mainly for serving the US market. Some of these companies include Quanta Computer, Wistron, Hon Hai and Inventec. TECO, a manufacturer of industrial electric motors, have recently begun production in Mexico, too. Let’s hear from the chair.
Morris Li
TECO chair
We’ve just started project commissioning in Mexico, but we haven’t started mass production on all production lines yet. Relatively speaking, other Taiwanese manufacturers are quite lucky. They have smaller productions there, so when they need to change sites, their other sites can very quickly handle the orders.
The chair of TECO said because they have production sites in China, South East Asia and the US, Trump’s proposed tariffs on Mexico are expected to have a limited impact. As for the 10% tariffs on Chinese goods, Acer CEO Jason Chen said the solution is to relocate production to other countries. For example, he said Acer has already moved production of PCs to the US and South East Asia.
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