Latest news with #WorldSemiconductorTradeStatistics
Time of India
2 days ago
- Business
- Time of India
Trade war: Trump plans 100% tariff on chips, semiconductors; claims 'there's no charge' for companies building in US
US President Donald Trump on Wednesday announced a steep 100% tariff on imported computer chips and semiconductors, a move that could lead to higher prices for electronics, cars, appliances, and other tech-driven products. Speaking at the Oval Office alongside Apple CEO Tim Cook, Trump said, "We'll be putting a tariff of approximately 100% on chips and semiconductors." "But if you're building in the United States of America, there's no charge," he added. This marks a major policy shift just three months after Trump temporarily exempted most electronics from harsh tariffs. In April, devices like smartphones, computers, and other gadgets were excluded from additional tariffs, though some existing duties still applied. US Customs had recently updated guidance to exclude certain tech items from the 125% tariff on Chinese goods and a base 10% global tariff. Trump's move aims to encourage chip manufacturing within the US Companies like Apple, Nvidia, and Intel, which have made large investments in domestic production — may benefit from the exemption. Big Tech has pledged around $1.5 trillion in US investments since Trump returned to office in January. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like The Simple Morning Habit for a Flatter Belly After 50! Lulutox Undo Apple on Wednesday announced a new $100 billion investment to boost manufacturing in the United States. The move is expected to help the company avoid potential tariffs on iPhones. With this new pledge, Apple's total commitment to US investment now stands at $600 billion over the next four years. Earlier this year, the tech giant had announced plans to invest $500 billion and create 20,000 jobs across the country. The exemption could help Apple avoid tariff-related cost pressures on iPhones produced in China and India, ahead of new model launches next month. Apple shares jumped 5% during regular trading and rose another 3% in after-hours trading following the tariff announcement. Nvidia, which recently hit a $1 trillion market value and has expanded US operations, also gained. Intel, despite recent struggles, saw its stock climb as well. Meanwhile, demand for chips remains strong globally, with sales growing nearly 20% year-on-year as of June, according to the World Semiconductor Trade Statistics. Stay informed with the latest business news, updates on bank holidays and public holidays .
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First Post
3 days ago
- Business
- First Post
Trump announces 100% tariff on computer chips and semiconductors, exempts firms 'building in US'
Trump has announced a 100 per cent tariff on imported computer chips and semiconductors, aiming to push companies to manufacture them within the country. The move which exempts US-based producers. read more Trump has taken an extraordinary bet on the importance of American market in global economy and believes that he has a leverage so unique that he can do almost anything. Image: AFP US President Donald Trump on Wednesday (August 6, local time) announced plans to impose a 100 per cent tariff on computer chips and semiconductors, while exempting companies that manufacture them within the United States. The move is expected to drive up the cost of a wide range of electronics, cars, appliances, and other essential tech-driven products. 'We'll be putting a tariff on of approximately 100 per cent on chips and semiconductors,' Trump said while speaking at the Oval Office. 'But if you're building in the United States of America, there's no charge.' STORY CONTINUES BELOW THIS AD The announcement follows Trump's decision to impose an additional 25 per cent tariff on Indian goods over its continued oil trade with Russia, effectively doubling the overall tariff rate to 50 per cent. The new tariffs are scheduled to take effect in 21 days, allowing time for India and Russia to negotiate with the US administration over the proposed import duties. The global chip shortage during the Covid-19 pandemic had already led to rising car prices and contributed to broader inflation. Since then, demand for semiconductors has continued to surge, with global sales rising 19.6 per cent in the 12 months ending June, according to the World Semiconductor Trade Statistics organization. Trump's latest tariff move marks a sharp departure from current strategies aimed at boosting domestic chip production through subsidies and incentives. Instead, he's opting for a more aggressive approach, using tariffs as leverage to push companies to manufacture within the US. By making imported chips more expensive, Trump is betting that firms will be compelled to shift production domestically, even if it risks squeezing profits and raising consumer prices on products like smartphones, televisions, and appliances.
Mint
3 days ago
- Business
- Mint
Trump plans 100% tariff on computer chips, semiconductors: Will electronics get costlier?
United States President Donald Trump said on Wednesday, August 6, that he would impose a 100 per cent tariff on computer chips and semiconductors, but added that companies that manufacture computer chips in the country would be spared the tax. With the 100 per cent tariffs on computer chips and semiconductors, the prices of electronics, automobiles, household appliances, and other digital-age essentials are likely to rise. Speaking at the Oval Office, Donald Trump said, 'We'll be putting a tariff on of approximately 100% on chips and semiconductors.' 'But if you're building in the United States of America, there's no charge.' The development comes just after Donald Trump imposed an additional 25 per cent tariffs on Indian products for its purchases of Russian oil, bringing combined tariffs on the country to 50 per cent. The tariffs are set to take effect in 21 days, giving India and Russia a window to negotiate with the administration over the import duties. During the Covid-19 pandemic, a shortage of computer chips increased the price of autos and contributed to an overall uptick in inflation. Demand for computer chips has been climbing worldwide, with sales increasing 19.6% in the year-ended in June, according to the World Semiconductor Trade Statistics organization. Trump's tariff threats mark a significant break from existing plans to revive computer chip production in the United States. He is choosing an approach that favors the proverbial stick over carrots in order to incentivize more production. Essentially, the president is betting that higher chip costs would force most companies to open factories domestically, despite the risk that tariffs could squeeze corporate profits and push up prices for mobile phones, TVs and refrigerators. By contrast, the bipartisan CHIPS and Science Act signed into law in 2022 by then-President Joe Biden provided more than $50 billion to support new computer chip plants, fund research and train workers for the industry. The mix of funding support, tax credits and other financial incentives were meant to draw in private investment, a strategy that Trump has vocally opposed.
Boston Globe
3 days ago
- Business
- Boston Globe
Trump says he plans to put a 100% tariff on computer chips, likely pushing up cost of electronics
Inquiries sent to chip makers Nvidia and Intel were not immediately answered. Demand for computer chips has been climbing worldwide, with sales increasing 19.6 percent in the year-ended in June, according to the World Semiconductor Trade Statistics organization. Advertisement Trump's tariff threats mark a significant break from existing plans to revive computer chip production in the United States. He is choosing an approach that favors the proverbial stick over carrots in order to incentivize more production. Essentially, the president is betting that higher chip costs would force most companies to open factories domestically, despite the risk that tariffs could squeeze corporate profits and push up prices for mobile phones, TVs and refrigerators. By contrast, the bipartisan CHIPS and Science Act signed into law in 2022 by then-President Joe Biden provided more than $50 billion to support new computer chip plants, fund research and train workers for the industry. The mix of funding support, tax credits and other financial incentives were meant to draw in private investment, a strategy that Trump has vocally opposed. Advertisement
Chicago Tribune
3 days ago
- Business
- Chicago Tribune
Trump says he plans to put a 100% tariff on computer chips, likely pushing up cost of electronics
WASHINGTON — President Donald Trump said Wednesday that he will impose a 100% tariff on computer chips, likely raising the cost of electronics, autos, household appliances and other goods deemed essential for the digital age. 'We'll be putting a tariff on of approximately 100% on chips and semiconductors,' Trump said in the Oval Office while meeting with Apple CEO Tim Cook. 'But if you're building in the United States of America, there's no charge.' The Republican president said companies that make computer chips in the U.S. would be spared from the import tax. During the COVID-19 pandemic, a shortage of computer chips increased the price of autos and contributed to an overall uptick in inflation. Demand for computer chips has been climbing worldwide, with sales increasing 19.6% in the year-ended in June, according to the World Semiconductor Trade Statistics organization. Trump's tariff threats mark a significant break from existing plans to revive computer chip production in the United States. He is choosing an approach that favors the proverbial stick over carrots in order to incentivize more production. Essentially, the president is betting that higher chip costs would force most companies to open factories domestically, despite the risk that tariffs could squeeze corporate profits and push up prices for mobile phones, TVs and refrigerators. By contrast, the bipartisan CHIPS and Science Act signed into law in 2022 by then-President Joe Biden provided more than $50 billion to support new computer chip plants, fund research and train workers for the industry. The mix of funding support, tax credits and other financial incentives were meant to draw in private investment, a strategy that Trump has vocally opposed.
