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US Chamber of Commerce Report Highlights Power Supply Challenges for Taiwan's Semiconductor and AI Industries

US Chamber of Commerce Report Highlights Power Supply Challenges for Taiwan's Semiconductor and AI Industries

The US Chamber of Commerce released its "2025 Taiwan White Paper" today (10th), emphasizing Taiwan's energy issues. The report highlights that with the phase-out of nuclear energy, Taiwan is transitioning to a non-nuclear home, but is reducing coal usage due to decarbonization targets, coupled with global fuel supply disruptions. This poses risks to the stability of electric supply in the future, affecting key industries such as semiconductors and artificial intelligence (AI).

It pointed out that Taiwan needs to enhance transparency, administrative efficiency, and pricing mechanisms in order to support the transition to renewable energy, while maintaining the competitiveness of industrial electricity prices. Improving the operational environment for energy developers, along with stable electricity supply, market reforms, and long-term planning, is essential for strengthening Taiwan's energy security and resilience.

Dan Silver, Chairman of the US Chamber of Commerce, indicated that after visiting 222 member companies last year, 90% of respondents expressed plans to maintain or increase their investments in Taiwan by 2025, demonstrating strong confidence in Taiwan's investment environment. He added that members believe the government’s top priority should be to address energy issues, which is unprecedented. Taiwan should leverage emerging technologies to ensure electricity supply keeps pace.

Silver pointed out that Taiwan hosts clusters of industries such as semiconductors, AI, and quantum computing, which rely on stable electricity. More efforts should be made to ensure a stable power supply and transparent pricing to help these emerging industries thrive in Taiwan. Additionally, the American Institute in Taiwan (AIT) has expressed willingness to assist Taiwan in developing nuclear energy solutions.

Carl Wegner, CEO of the US Chamber of Commerce, emphasized that the chamber has over 500 members from various energy sectors and does not focus on specific energy types, but hopes for a stable and predictable electricity supply for Taiwan. As Taiwan increases its investment in the US, the relationship between the two sides will become closer; however, many small and medium enterprises are unable to bear the burden of double taxation in the supply chain. The US Chamber is actively promoting agreements to avoid double taxation, hoping to resolve issues for Taiwan's SMEs and expanding Taiwanese investments in the US.