[Taichung, Taiwan – Jan 20, 2026] Following a structural correction in 2025, Taiwan’s machine tool industry is greeting a major economic turnaround in early 2026. The Taiwan Machine Tool & Accessory Builders’ Association (TMBA) announced today that as the global industrial production cycle enters an accelerated growth phase, and with the official finalization of the Taiwan-US Reciprocal Tariff Agreement, the output and export profitability of Taiwan’s machine tool industry are expected to fully recover in 2026. This pivotal moment will be spearheaded by the Taiwan International Machine Tool Show (TMTS 2026), which will move to its new flagship venue in Taichung for the first time, showcasing the resilience and international competitiveness of Taiwan’s smart manufacturing.

First Wave of Recovery: Tariffs Dropped to 15% as Growth Momentum Restarts

Regarding the recent breakthrough in Taiwan-US trade negotiations, TMBA Chairman Patrick Chen expressed deep gratitude, viewing it as a vital opportunity for industry transformation. Chairman Chen noted that the reciprocal agreement lowers the tariff rate to 15% without stacking with the original MFN (Most Favored Nation) rates. This effectively grants Taiwan "Most Favored Ally" status among major US deficit countries, putting Taiwanese products on equal footing with competitors from Japan, South Korea, and the EU for the first time.

"This is more than just a reduction in numbers; it is a ticket to a new global competitive arena," emphasized Chairman Chen. He further pointed out that the tax savings will be directly converted into R&D and transformation energy for manufacturers.

TMTS 2026 Debuts at TICEC: Fully Booked with High Demand

TMTS 2026 will be held from March 25–28, 2026, at the new Taichung International Convention and Exhibition Center (TICEC). The scale is unprecedented, with 400 exhibitors across 1,800 booths, expected to attract over 70,000 professional buyers. Registration is currently full, with over 100 companies on the waiting list. Under the theme "AI-Powered, Sustainable Manufacturing," the show focuses on high-value digital ecosystems to capture global orders from semiconductor expansion and defense aerospace sectors.

Key Highlights: Industry Giants and "Ecosystem" Collaborations

• Industry Leaders: Major players like Fair Friend Group (FFG), HIWIN Group, YCM, Tongtai Group, Goodway, AWEA, and FANUC will all be present.
• Ecosystem Exhibition: 14 leading manufacturers will present "Systemic Integrated Solutions." Additionally, the SPEMA (Super Precision Equipment Manufacturers Association) alliance will demonstrate precision capabilities for aerospace and medical sectors.
• Global Integration: International pavilions from Germany, Switzerland, and the USA will facilitate deep connection with global supply chains and the umati connectivity standard.