HOUBI: Taiwanese orchid grower Lee Tsang-yu has seen US tariffs on his seedlings jump from zero to 20% since the start of Donald Trump’s trade war.
The 61-year-old farmer remains resilient despite the economic challenges.
Lee is expanding into Thailand, Vietnam, Indonesia, and Brazil while reducing US shipments.
“The US is such a huge market, we can’t pull out, and we won’t,“ said Lee, whose company operates four large greenhouses in Houbi.
Taiwan is one of the world’s top orchid producers, with Phalaenopsis orchids dominating exports.
The island’s orchid exports hit NT$6.1 billion (US$204 million) in 2024, with NT$2 billion going to the US.
Most growers initially absorbed Trump’s 10% tariff, said Ahby Tseng of the Taiwan Orchid Growers Association.
But the new 20% levy is unsustainable, he added.
Taiwan’s main US competitor, The Netherlands, faces a lower 15% tariff.
The five-point difference is significant, Tseng noted.
Passing costs to consumers is difficult as buyers may switch to other flowers.
Stockpiling orchids isn’t feasible since the plants continue growing.
Lee worries more about declining US consumer spending than tariffs.
“Since late May, we’ve cut US shipments by 15%,“ he said.
Lee remains optimistic that new markets will offset losses over time.
Taiwanese orchids last longer than Dutch ones, giving them an edge.
“Trump won’t be president forever,“ Lee added. – AFP