2 days ago
Trump's 300 Pct Chip Tariffs Threaten Global Semiconductor Industry
BUSINESS
By Durratul Ain Ahmad Fuad
KUALA LUMPUR, Aug 19 (Bernama) – United States (US) President Donald Trump's move to impose up to 300 per cent tariffs on semiconductor chip imports into the US will be a devastating blow to the global industry.
Products such as smartphones, computers, medical devices, televisions, automobiles and appliances would become significantly more expensive, said Tsung Ming Chung of Dutch multinational company, ASML B.V.
Based in the Netherlands, ASML B.V. is one of the world's leading manufacturers of chip-making equipment.
Tsung, who is ASML's customer support service performance manager and has been with the company for 19 years, said the potential tariffs would have a major global impact, particularly on semiconductor manufacturers in countries like Malaysia, where the sector is one of the top export revenue earners.
It could even cause the industry to 'grind to a halt,' he told Bernama after appearing on Bernama TV's The Nation programme yesterday.
He said the tariffs' impact on semiconductor companies within America would not be too big, but the effect would be much greater for companies outside the US.
For example, Tsung noted that Intel's operations in Penang could be forced to pay the 300 per cent tariff to ship chips back to the US.
'I don't know how they are going to compete with the chips being created or manufactured in the US itself,' he said.
