Washington DC, 5 September (H.S.): In a fresh escalation of his trade agenda, US President Donald Trump announced that Washington will soon impose a “fairly substantial” tariff on imported semiconductors, though he stopped short of disclosing the exact rate or timeline.

Speaking at a White House dinner with technology executives on Thursday, Trump reiterated his hardline stance, framing the upcoming levy as part of his push to bring semiconductor manufacturing back to American soil. While the measure is expected to be lower than the previously threatened 100 percent tariff, the decision could ripple across global chip supply chains and intensify competition with China in strategic technologies such as artificial intelligence.

Earlier in August, Trump’s talk of doubling tariffs on foreign-made chips jolted Asian markets, raising concerns for major producers tied to Taiwan and South Korea. Analysts warn that a steep US tariff would reshape corporate strategies, compelling multinational chipmakers to rethink investment and production hubs.

The announcement comes as Trump seeks a Supreme Court ruling to reinstate several disputed tariffs. Legal experts note that while blanket tariffs face scrutiny, sector-specific measures such as those on steel—and now semiconductors—are likely to withstand judicial challenges.

With Washington and Beijing already locked in a technological arms race, Trump’s tariff maneuver aims to secure greater domestic manufacturing capacity, potentially redrawing the map of the trillion-dollar semiconductor industry.

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Hindusthan Samachar / Jun Sarkar