Taiwan-based networking and communication solutions providers are facing difficulties meeting customers’ requests to expedite shipments during the 90-day pause on the US reciprocal tariffs due to the time needed to adjust their production capacity and a lack of support from component suppliers.

In the era of globalization, R&D as well as manufacturing can access capital, land, utilities, and talent locally. However, the deglobalization trend sparked by US President Donald Trump has forced some companies to bring their capital directly to target markets to find sites and recruit personnel, maintaining customer commitments amid new tariff storms. The question arises: will the industrial hollowing out and talent outflow caused by Taiwanese firms moving westward to China years ago repeat itself during the current eastward shift toward the US?

Foxconn Precision Industry held its first quarter 2025 earnings call on May 14. Chairman Young Liu stated that due to US tariff policies and recent exchange rate fluctuations impacting the supply chain, the overall outlook for 2025 has become more cautious.

Taiwan’s industrial PC specialist Parpro reported a sharp year-over-year profit recovery for the first quarter of 2025, citing effective operational restructuring and a revamped product strategy. The company began a turnaround program in 2024, focusing on cost efficiency and portfolio realignment, helping revenue and profit rebound from pandemic-era lows.