Full Breakdown
Taiwan Orchid Growers Seek Government Support to Compete in U.S. Market
1/23/2026, 6:24:06 AM
Core Event: Declining Competitiveness of Taiwanese Orchids
The Taiwan Orchid Growers Association has called on the government to enhance support for the expansion of Taiwan's Phalaenopsis orchids, commonly known as moth orchids, in the U.S. market. Moth orchids represent Taiwan's largest agricultural export to the United States, but the growers face increasing competition from Canadian and Latin American producers who benefit from closer proximity and tariff-free access to the U.S. market.
Current Market Challenges
In 2025, Taiwan exported 4,284 tonnes of moth orchids to the U.S., a decrease of 214 tonnes, or 4.7%, from the previous year. The export value also fell by 10.8%, dropping from $61.459 million in 2024 to $54.794 million in 2025. The decline is attributed to the U.S. imposing "reciprocal" tariffs in August 2025, which diminished Taiwan's competitive edge. Tseng Chun-pi, the association's secretary-general, noted that while the U.S. has recently agreed to reduce tariffs on Taiwanese goods from 20% to 15%, the costs for exporting Taiwanese moth orchids remain higher than those of competitors.
Government Initiatives and Support
The Taiwanese government has expressed willingness to assist orchid growers by offering the production base of Taiwan Sugar Co. (Taisugar) in California for their operations. The association has submitted a proposal to collaborate with Taisugar to facilitate the expansion of Taiwanese orchid production in the U.S. This initiative aims to mitigate the high costs associated with exporting orchids and to improve supply chain efficiencies.
Criticism & Opposition
Despite the government's efforts, some growers remain skeptical about the effectiveness of the proposed support. Concerns persist regarding the high operational costs in the U.S. and the potential impact of shipping delays due to strikes or other disruptions. Tseng emphasized that these factors pose significant risks to the viability of expanding production in the U.S. market.
Official Statements & Responses
The Taiwan Orchid Growers Association has urged the government to assist in transforming their business models and expanding supply chains in the U.S. Tseng stated, “Although U.S. tariffs on Taiwanese exports have been lowered, costs for exporting Taiwanese moth orchids are still higher than those of competitors.” This sentiment reflects the growers' ongoing struggle to maintain their market position amid rising competition.
What's Next: Future Prospects
The association hopes that the benefits of the reduced U.S. tariffs will begin to materialize in the upcoming year. As Taiwanese orchid growers navigate these challenges, the collaboration with Taisugar could play a crucial role in enhancing their competitiveness in the U.S. market, potentially leading to a recovery in export volumes and values.
