Taiwan's Compal and Inventec Consider US Expansion to Mitigate Trump Tariff Impact

Taiwan's Compal and Inventec are actively considering expanding their operations in the United States to mitigate the impact of tariffs imposed by President Trump. These tariffs, aimed at reducing reliance on imports from Taiwan, have prompted both companies to explore setting up manufacturing facilities within the US.

Compal Electronics is specifically looking into the feasibility of establishing a server manufacturing plant in the United States. Texas is one of the potential locations under consideration. This move aligns with Compal's broader strategy to enhance its production capabilities and secure a stable supply chain amid changing trade policies.

Inventec, another major Taiwanese electronics manufacturer, is also eyeing the US for expansion. The company is particularly interested in Texas for setting up a server factory. However, the clarity on the specifics of the tariff policy is awaited before finalizing any decisions. Inventec's interest in Texas is part of a larger strategy to diversify its manufacturing base and reduce exposure to tariff-induced risks.

The tariffs, which are part of Trump's broader trade policy, are expected to significantly impact the AI server supply chain, affecting companies like Foxconn and others involved in the tech sector. By expanding their operations in the US, Compal and Inventec aim to not only counter the immediate financial impact of the tariffs but also to strengthen their market position in North America, a key region for their business growth.

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