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President Donald Trump is preparing to announce new tariffs on imported semiconductors as early as this week, signaling a broader push to bring advanced manufacturing back to the United States. According to a report by Reuters, the move comes amid escalating trade tensions, and it may soon be followed by additional duties on smartphones, laptops, and other electronics.
Speaking aboard Air Force One, Trump said the goal is to reduce U.S. reliance on foreign-made chips. “We want to make our chips and semiconductors and other things in our country,” he said, emphasizing the need to re-shore critical parts of the tech supply chain. “You have to show a certain flexibility. Nobody should be so rigid,” he added, alluding to potential exemptions for companies that meet specific criteria.
Commerce Secretary Howard Lutnick confirmed that while smartphones and computers were initially exempted from tariffs in last week’s China trade package, they are expected to face separate levies within two months. A new national security trade probe into the chip and electronics supply chain is also underway, laying the groundwork for further measures.
Markets have reacted sharply to the ongoing uncertainty. The S&P 500 has dropped over 10% since Trump returned to office in this year. Bill Ackman, a Trump supporter but tariff critic, urged the president to pause China tariffs for 90 days and temporarily lower them to 10%, arguing it would still shift supply chains without major disruption.
Critics from both parties have expressed concern. Senator Elizabeth Warren called the administration’s approach “erratic and economically dangerous,” warning that such policies risk pushing the U.S. toward a recession.
Despite the backlash, Trump’s team insists the new tariffs are a strategic necessity to protect U.S. industry and national security. With global supply chains still fragile, the move could reshape how and where the world’s tech products are made.
