US President Donald Trump mentioned the tariff won’t influence corporations if they’ve already invested in US amenities.
United States President Donald Trump says he’ll impose a 100% tariff on foreign-made semiconductors, though exemptions shall be made for corporations which have invested within the US.
“We’ll be placing a tariff on of roughly 100% on chips and semiconductors, however when you’re constructing in the US of America, there’s no cost, although you’re constructing and also you’re not producing but,” Trump informed reporters on the Oval Workplace on Wednesday night.
The information got here after a separate announcement that Apple would make investments $600bn within the US, nevertheless it was not sudden by US observers.
Trump informed CNBC on Tuesday that he deliberate to unveil a brand new tariff on semiconductors “inside the subsequent week or so” with out providing additional particulars.
Particulars had been additionally scant on the Oval Workplace about how and when the tariffs will go into impact, however Asia’s semiconductor powerhouses had been fast to reply in regards to the potential influence.
Taiwan, house of the world’s largest chipmaker TSMC, mentioned that the corporate could be exempt from the tariff as a consequence of its present investments within the US.
“As a result of Taiwan’s fundamental exporter is TSMC, which has factories in the US, TSMC is exempt,” Nationwide Improvement Council chief Liu Chin-ching informed the Taiwanese legislature.
In March, TSMC – which counts Apple and Nvidia as purchasers – mentioned it could enhance its US funding to $165bn to develop chip making and analysis centres in Arizona.
A semiconductor wafer displayed at Contact Taiwan, an annual show exhibition in Taipei, Taiwan, on April 16, 2025 (Ann Wang/Reuters)
South Korea was additionally fast to extinguish any considerations about its prime chipmakers, Samsung and SK Hynix, which have additionally invested in amenities in Texas and Indiana.
Commerce envoy Yeo Han-koo mentioned South Korean corporations could be exempt from the tariff and that Seoul already confronted “beneficial” tariffs after signing a commerce take care of Washington earlier this yr.
TSMC, Samsung and SK Hynix are simply a few of the international tech corporations which have invested within the US since 2022, when then-President Joe Biden signed the bipartisan CHIPS Act providing billions of {dollars} in subsidies and tax credit to re-shore funding and manufacturing.
Much less fortunate is the Philippines, mentioned Dan Lachica, president of Semiconductor and Electronics Industries within the Philippines Basis.
He mentioned the tariffs shall be “devastating” as a result of semiconductors make up 70 % of the Philippines’ exports.
Trump’s newest spherical of blanket tariffs on US commerce companions is due to enter impact on Thursday, however the White Home has additionally focused particular industries like metal, aluminium, vehicles and prescription drugs with separate tariffs.
