Trump’s Tariffs Are Threatening the US Semiconductor Revival

Silicon Valley, when President Donald Trump was learned, had a comforting feeling of Wednesday Tariff Bonanza At least be subject to current import duties, be free from one freedom for semiconductors. However, three days later, some US technology companies find that the gaps have created more problems than in fact being resolved. White house after the tariffs are announced A list of The products they say do not include not being affected and many types of chips.

This means that only a small number of American manufacturers will be able to continue the plugs in the higher import expenses. The vast majority of the semiconductors included in the United States are already packaged in graphical processing units (GPU) and non-released products such as servers for training artificial intelligence models. And the production equipment used by local companies to produce chips in the United States was not cautioned.

“If you are a large chip manufacturer in the United States, you will receive a few years in the past few years,” Martin Chorzempa says, Martin Chorzempa, a majority of the Peterson Institute of Economics.

The US Combustion Department did not meet the desire to comment.

Stacy Rasgon, a large analytics covering semiconductors in Bernstein’s research, will do little to sharpen the negative effects in the industry in the narrow exception in the chips. The amount of tariffs for the most semiconductors to the US borders, servers, smartphones and other products, “something similar in the baling of the tariffs compared to that thing”, “something similar to these things”, touches the ratio of common import duties.

Rasgon notes that the semiconductor industry depends on other imports and overall health of the United States economy, as these components are so much to the refrigerators. “They are exposed by macro,” he says.

To determine what goods are applied, the Trump Office has relying on a complex system called a compelled tariff schedule (HTS), which organizes millions of different products in the US market. The White House Document lists only a narrow group of HTS codes in the semiconductor area where new tariffs are released.

For example, GPUs is usually coded in the HTS system as 8473.30 or 8542.31, Nancy Wei, Consulting Firm Supply Armed Analyst is coded as an supply chain analyst in the Eurasian group. However, Trump’s refusal only applies to a more advanced GPU in the category of 8542.31. It does not cover other codes for the related types of the calculation apparatus. NVIDIA’s DGX systems are coded as a pre-established server with an internal GPU designed for AI billing tasks, according to, according to 8471.50 The company’s websiteIt probably means not free from tariffs.

The line between these differences can sometimes be blurry. In 2020, for example, the importer of the two NVIDIA GPU models, under the U.S. government, he wanted to clarify the category. US Customs and Border Protection after viewing the issue Defined it Two GPUs refers to 8473.30 categories without releasing from tariffs.