Trump administration imposes a 25 percent tariff on high-end chips
President Trump has signed a proclamation imposing a 25 percent tariff on “certain advanced computing chips,” the White House has announced. As The New York Times notes, the administration previously threatened much bigger and broader tariffs for chips. Trump even said that he was going to impose a 100 percent tariff on companies unless they invest on semiconductor manufacturing in the United States. The new tariff will only affect advanced chips imported into the US and are meant to be re-exported to other countries to sell. In its announcement, the White House specifically named AMD MI325X and NVIDIA H200 as two products that will be affected by the tariff. The president recently approved H200 for export to China, saying that it isn’t NVIDIA’s most advanced AI chip anyway and that the company now has newer and more powerful products, such as its Blackwell semiconductors. “[W]e're going to be making 25 percent on the sale of those chips, basically,” Trump said. Semiconductors imported into the US for use in products to be sold in America or for use in data centers in the country, will not be affected by the new tariff. “This tariff will not apply to chips that are imported to support the buildout of the US technology supply chain and the strengthening of domestic manufacturing capacity for derivatives of semiconductors,” the White House wrote. But that could still change: The administration said that it may still impose broader tariffs on semiconductor imports and the products that use them in the near future. This article originally appeared on Engadget at https://www.engadget.com/big-tech/trump-administration-imposes-a-25-percent-tariff-on-high-end-chips-140000138.html?src=rss
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