President Trump Announces Potential New Tariffs on Foreign Chip Imports Set for ‘Next Week or So’

The President of the United States, Donald J. Trump, has indicated that tariffs on semiconductors are imminent, potentially as early as next week. In an interview with CNBC, Trump hinted at the introduction of duties not only on semiconductors but also on pharmaceuticals and other imports.

“Within the next week or so, we’ll be announcing tariffs specifically targeting semiconductors and chips,” Trump stated, referring to the 15% tariffs he announced last week on goods from the European Union, Japan, and numerous other markets. He added that this policy will focus on promoting domestic production of these components.

The specifics of the policy, including potential exemptions, have not been disclosed. However, it is expected to raise concerns regarding increased costs for PC processors and a wide array of electronics that rely on foreign-made chips. Notably, companies such as Apple, AMD, Qualcomm, Nvidia, and Intel source at least some chip production from Taiwan’s TSMC.

While TSMC has begun chip production at its first fab in Arizona, the majority of its semiconductor production remains based in Taiwan. Consequently, the contract chip maker has urged the Trump administration to exempt the company from such tariffs, fearing they could threaten domestic chip demand and potentially undermine TSMC’s financial capacity to execute its ambitious Arizona project, which includes plans for six fabs in the state.

In April, Trump had exempted chips, smartphones, and laptops from his “reciprocal tariffs” on China. However, the Trump administration signaled its intention to eventually impose tariffs on Chinese-made electronics separately through a distinct category of duties.

“We are taking a look at Semiconductors and the WHOLE ELECTRONICS SUPPLY CHAIN in the upcoming National Security Tariff Investigations,” Trump posted on Truth Social at the time. “What has been exposed is that we need to make products in the United States, and that we will not be held hostage by other countries, especially hostile trading nations like China.”