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‘Abide by one-China principle,’ Beijing tells US over chip deal with Taiwan

China condemned a US-Taiwan semiconductor deal, urging Washington to uphold the “one-China principle” and warning that attempts at “Taiwan independence” will be firmly countered, as the deal aims to boost US investment and lower tariffs.

Anadolu Agency TECH
Published January 16,2026
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Beijing Friday urged the US to abide by the "one-China principle" after Washington reached a pact with Taiwan on semiconductors, which will reduce tariffs on the island.

"China always firmly opposes countries having diplomatic relations with China negotiating and signing any agreement with China's Taiwan region," Foreign Ministry spokesman Guo Jiakun told reporters in Beijing.

"The US needs to earnestly abide by the one-China principle and three US-China Communiques," said Guo.

The US Commerce Department on Thursday said its agreement with Taipei will attract huge investments from Taiwan to the US, and decrease tariffs for Taiwan.

"This unprecedented commitment will strengthen US economic resilience, create high-paying jobs, and bolster national security," it said.

Taiwanese semiconductor and technology enterprises will make direct investments of at least $250 billion to build and expand advanced semiconductor, energy and AI production and innovation capacity in the US, it said.

Taipei will also provide credit guarantees of at least $250 billion to facilitate additional investment by Taiwanese enterprises, supporting the establishment and expansion of the full semiconductor supply chain and ecosystem in the US.

The US reciprocal tariff rate applied to Taiwanese goods will total no more than 15% under the deal. US Section 232 duties applied to Taiwanese auto parts, timber, lumber and wood derivative products will total no more than 15%.

The US will also apply a zero-percent reciprocal tariff for generic pharmaceuticals, their generic ingredients, aircraft components and unavailable natural resources.

Separately, Chinese Defense Ministry spokesman Zhang Xiaogang said: "For us, to deal with the 'Taiwan independence' separatist forces is like catching a turtle in a jar," Beijing-based daily Global Times reported.

"All options that can punish the 'Taiwan independence' separatist forces remain on the table," Zhang said at a news conference in response to a question about the US military raid in Caracas during which American forces captured Venezuelan President Nicholas Maduro.

"The Taiwan question is purely China's internal affair. How to resolve it is a matter for the Chinese, which brooks no interference from external forces," Zhang stressed.