Adult flies, considered a list-A pest, have been found on Flinders Island this month while larvae was discovered at Spreyton, near Devonport.
"I've been advised Taiwan has ceased imports for Tasmanian produce," Primary Industries Minister Jeremy Rockliff told reporters on Wednesday.
"We're keeping in close contact with our protocol countries, particularly Taiwan and China.
"China has appreciated our ongoing brief, they have not suspended any trade as yet, which is welcome."
Tasmania relies on its fruit-fly-free status to export to premium markets in Japan, Korea, USA, China and Taiwan.
Department of Primary Industries, Parks, Water and Environment Biosecurity Tasmania general manager Lloyd Klumpp said the suspension of trade was not unexpected.
"We recognise the importance of this market to local producers and we will be working closely with industry and the Australian government to ... re-establish market access as soon as possible," he said.
Trade is continuing to other overseas markets, plus domestic markets that do not have biosecurity requirements in place for the Queensland fruit fly.
The fly is found along Australia's eastern seaboard and in the Northern Territory.
It was declared a list-A pest in Tasmania in 1997.
