The island computer chip and electronics components hub is vulnerable to new import duties, so its economy ministry will advise on possible U.S. states for investment, local laws and help finding partners.

Taiwan’s government will soon look at whether it needs to help its domestic industry over threats by President Donald Trump to put tariffs on semiconductors, Premier Cho Jung-tai said on Wednesday.

The market sold off this morning after President Donald Trump announced sweeping tariffs over the weekend to take effect Tuesday. The broader benchmark S&P 500 fell over 1.7%, as of 9:55 a.m. ET. Meanwhile,

The region's economic ministry said its setting up a consultation hotline and consultation services for affected firms.

While the tariffs aim to boost domestic manufacturing, they are unlikely to divert production from Asia immediately.

Premier Cho Jung-tai said the island’s government would look for ways to maintain the island’s ‘leading position’.

Trump threatened tariffs Monday to bring semiconductor, chip and pharmaceutical production back to the US, arguing that many companies have relocated to Taiwan. “They left us and went to Taiwan, which is about 90% of the chip business, and we want them to come back,” said Trump.