2026 Trade Policy Barometer: What Are the Next Moves of Major Economies and How Will They Reshape Taiwan’s Machine Tool Industry?

According to forecasts from multiple international research institutions, global and major economies are expected to maintain steady growth in 2026. Signs of easing tensions emerged from the fifth round of trade negotiations between the United States and China in Malaysia, while supply chain relocation continues to drive economic expansion in ASEAN countries. These factors are likely to boost global manufacturing investment confidence and, consequently, increase demand for machine tools. However, uncertainties such as the Russia-Ukraine war, Middle East conflicts, geopolitical tensions between India and Pakistan, Thailand and Cambodia, deteriorating China-Japan relations, and potential renewed trade sanctions between China and the United States may still affect global economic performance in 2026. The following sections analyze major economic and trade policies in key countries closely linked to Taiwan’s machine tool industry, either as important markets or major competitors.

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