John Chen-Chung Deng spoke to The Associated Press on a visit this week to Washington, where he is leading a Taiwanese trade delegation and meeting with U.S. trade officials.
At the same time, Pentagon leaders have been touring the Indo-Pacific to rally regional allies in bolstering military defenses and deterrence. A House committee last month war-gamed a hypothetical attack by China on Taiwan and U.S. positions as part of a bipartisan congressional effort to find specific ways to boost deterrence.
Relations between the U.S. and China have hit dramatic peaks in tensions over the past two years as Xi’s government asserts China’s growing strength economically, diplomatically and militarily. That includes China underscoring its broad territorial claims in the region. The Biden administration and Republicans and Democrats in Congress broadly support strengthening the U.S. and Taiwanese positions in the region to discourage any Chinese invasion of the island.
Treasury Secretary Janet Yellen in March called it an issue the U.S. needed to address. Senior members of Congress also have urged the U.S. to reach a tax agreement with Taiwan. Deng said he hopes for resolution of the tax issue before that first Taiwanese plant starts operation in Arizona, given the double-tax burden the operation will face.Taiwanese officials also hope in coming weeks to close an initial trade agreement with Washington, in a nod toward the free-trade pacts the U.S. has negotiated with South Korea and other allies.