Posted on 08/06/2025 4:46:51 PM PDT by E. Pluribus Unum
WASHINGTON (AP) — 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 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.
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% 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.
(Excerpt) Read more at apnews.com ...
Sure, like the other tariffs have raised prices? Anyone who has shopped recently has seen prices way down since Biden was in office.
Why did you skip the part about the $50 billion money laundering operation... I mean subsidy?
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.
I skipped it because it was glaringly obvious.
Or so I thought.
Not only that, but many Dell customers have been complaining about the supposed expansion capability of their tower PCs, finding out they are limited compared to previous Dell models they replaced.
Some customers have gone so far as to imply that Dell now considers their PCs "throwaways", meant for complete replacement instead of being able to fix or upgrade.
When did Taiwan become the enemy?
Major chip fabs are being built in the U.S. Yes, we probably need to build even more. The industry is already substantially rebuilding U.S. production capacity.
These plants, however, take years to build. There’s no reason to spike prices now.
Prices will go up like on other goods. So much for the Working Class...
So the jobs that will come back to the USA don't matter?
Those jobs are not coming back
When did Taiwan become the enemy?
How many ChiCom moles are embedded in Taiwan chip making companies?
Is Intel stock soaring?
I don’t think the tariffs have full taken effect yet.
If he does, it won’t last long
I wish certain people would grasp that.
But if we don’t start now, when?
The seeds have to be planted now, it may not bear fruit until Trump is out of office, but it has to be done, just the same.
....
One word the tariff panikins always miss .....
.......... MARKET SHARE ......
ok two words ...
glad to elaborate if needed
How else can you explain the almost 100% increase in coffee prices in the stores in the last year ? Tariffs ?
Simple supply and demand.
All these fabless (non-fabricating) semiconductor companies such as AMD, Apple, ARM, Broadcom, Marvell, MediaTek, Qualcomm, and Nvidia get their chips from Taiwan Semiconductor Manufacturing Company Limited.
That’s TSM:NYSE
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.