Trump Announces Semiconductor Tariffs, Promises ‘Some Flexibility’

The U.S. Commerce Secretary already signaled over the weekend that the country will impose separate tariffs on electronic devices within a month or two. President Donald Trump has said independently that he will make a formal announcement on semiconductor tariffs this week.

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According to tradition, these words were spoken by the American president on board a government aircraft last Sunday. As Trump explained, some companies in the sector will be able to count on special conditions for importing semiconductor products, but he did not anticipate the upcoming announcement or go into details. “We wanted to make it easier for many other companies because we want chips, semiconductor components and other things to be made in our country,” said Donald Trump. He added that “there needs to be some flexibility, and no one should be too tough.”

Trump also announced that the Commerce Department had launched a major investigation into the global supply chain for semiconductors and electronics. The Trade Expansion Act of 1962 allows the U.S. government to impose restrictions on imports of goods that pose a threat to national security. The investigation does not bode well for relations with Taiwan and other Asian countries that supply the U.S. with a significant share of semiconductors. American businesses could also suffer if the investigation concludes that imports of electronics or chips should be restricted to some extent.