Trump Set to Announce New Tariffs on Imported Semiconductor Chips and Steel

US President Donald TRUMP is preparing to impose new tariffs on imported semiconductor chips and steel, with rates expected to rise sharply over time to incentivize domestic production. This follows earlier increases in steel and aluminum tariffs, which reached 50% in May, and a proposed 100% tariff on semiconductor chips. Companies expanding local manufacturing may qualify for exemptions.

Apple anticipates $1.1 billion in additional tariff costs for the September quarter, as its supply chain remains heavily reliant on China, India, and Vietnam. Smaller firms face disproportionate strain, underscoring the uneven economic impact of these policies.

Manufacturers are diversifying production to India and Vietnam to mitigate exposure, but reshoring efforts could disrupt global supply chains. The tech sector, particularly semiconductor-dependent industries, may face heightened volatility as trade tensions escalate.