Taiwanese contract laptop manufacturers Compal and Inventec are exploring expansion into the United States, with Texas emerging as a key potential location. This comes as both companies anticipate the impact of President-elect Donald Trump’s proposed tariffs, which could significantly alter global trade dynamics.
Trump, set to return to the U.S. presidency on Monday, has raised global concerns with his promise to impose a 10% tariff on all imports into the U.S., a move that trade experts warn could disrupt trade flows, escalate costs, and provoke retaliatory tariffs on U.S. exports. The threat of 25% tariffs on Mexico has sparked particular anxiety among Taiwanese businesses, many of which have invested heavily in local manufacturing for components used in everything from electric vehicles to artificial intelligence (AI) servers destined for North America.
Before the company’s year-end party earlier this month, Anthony Peter Bonadero, President and CEO of Compal, confirmed that the company had been in discussions with several southern U.S. states regarding potential investments, with a focus on how Trump’s tariff policies will affect trade with Mexico.
“Texas stands out as a leading candidate due to its robust infrastructure and power capabilities. Samsung’s large-scale manufacturing facility there has boosted the region’s infrastructure, and Texas is the only state in the U.S. with its own independent power grid. We continue to evaluate the situation, but no final decisions have been made,” Bonadero said.
Similarly, Jack Tsai, president of Inventec, which specializes in AI servers using Nvidia chips, noted that the company has begun assessing possible U.S. locations for investment, with Texas again being a strong contender due to its proximity to Mexico and solid power infrastructure. However, Tsai emphasized that the impact of tariffs would depend on Trump’s final decisions after taking office.
“If tariffs are imposed, they are unlikely to affect every region immediately. We will need to monitor Trump’s actions and adjust our strategy accordingly,” Tsai stated.
Trump has also signaled plans to implement a 60% tariff on U.S. imports from China, where many Taiwanese companies have made substantial investments over the past several decades. In response, Taiwan’s economy minister stated in November that the government would assist local businesses in relocating production from China to alternative countries.
Wistron, another Taiwanese tech firm that produces computers and AI servers, has been expanding its operations outside of China, including into Mexico, Vietnam, and Texas. Wistron’s chairman, Simon Lin, expressed confidence in the company’s U.S. operations, noting that they are well-prepared to adapt to potential changes in trade policy.
“Our future focus will increasingly shift away from China,” Lin affirmed, underscoring the broader trend of Taiwanese manufacturers seeking to diversify production amid geopolitical uncertainties.
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