Taipei, Taiwan - Taiwan has reached a "general consensus" with the US on a trade deal, the island's negotiators said Tuesday, after months of talks.

Taiwan and the US began negotiations in April to hash out a trade deal after President Donald Trump slapped a 32% tariff on Taiwanese exports, which was later lowered to 20%, as part of his sweep of measures against dozens of trade partners.

Taiwanese President Lai Ching-te has pledged to boost investment in the US and increase defense spending as his government tries to further reduce the levy on its shipments, as well as avoid a toll on its semiconductor chip exports.

"The goal of the US-Taiwan tariff negotiations has always been to seek reciprocal tariff reductions without stacking tariffs, and to obtain preferential treatment under Section 232 for semiconductors, semiconductor derivatives, and other items," the Office of Trade Negotiations said in a statement, adding there was a "general consensus" on these issues.

Section 232 refers to part of the US Trade Expansion Act that allows tariffs to be imposed when national security is found to be at risk.

"Both sides are currently discussing the schedule for a concluding meeting, and an announcement will be made once it is confirmed," the statement said.

Taiwan's trade officials also vowed to provide "a complete explanation of the negotiations and the agreement" to the opposition-controlled parliament and the public.

Taiwan is a powerhouse in the manufacturing of semiconductor chips, which are the lifeblood of the global economy, as well as other electronics.

Trump has previously accused Taiwan of stealing the US chip industry, and his administration had made clear it wants more of the critical technology made on American soil.

The US government launched investigations under Section 232 into semiconductors and chip-making equipment last year.

Taiwan's trade surplus with the US was the seventh highest of any country in 2024, reaching US$73.9 billion.

More than half of its exports to the US are information and communications technology products, including semiconductors.

Lai has been at pains to find favor with Trump, vowing to raise defense spending to more than 3% of GDP this year and 5% by 2030.

TSMC, which is the world's largest contract chip maker, also has pledged to invest an additional US$100 billion in the US.

Taiwanese Deputy Foreign Minister Francois Chih-chung Wu told AFP recently that Taiwan planned to keep making the "most advanced" chips on home soil.