President Trump Signs Proclamation for 25 Percent Tariff on Advanced Computing Chips The White House has announced that President Trump has signed a proclamation imposing a new 25 percent tariff on certain advanced computing semiconductors. This action follows previous administration threats of much broader and larger tariffs on chip imports, including a past suggestion of 100 percent tariffs on companies that did not invest in US semiconductor manufacturing. The newly implemented tariff is narrowly targeted. It applies specifically to advanced chips that are imported into the United States with the primary intent of being re-exported for sale to other countries. The White House announcement explicitly named two products that will be affected: the AMD MI325X and the NVIDIA H200. This move comes shortly after the president approved the export of the NVIDIA H200 to China, with the administration noting that this particular chip is not NVIDIA’s most advanced AI offering. The administration pointed to newer products like the Blackwell semiconductors as being more powerful. Regarding the tariff on the approved H200 chips, President Trump stated, we’re going to be making 25 percent on the sale of those chips, basically. The proclamation includes significant exemptions. Semiconductors imported for use in products that will be sold within the United States, or for deployment in domestic data centers, will not be subject to the new 25 percent charge. The White House clarified that the tariff will not apply to chips imported to support building out the US technology supply chain and strengthening domestic manufacturing capacity for semiconductor-derived products. However, the administration indicated that this targeted tariff may not be the final action on the issue. Officials said that broader tariffs on semiconductor imports and the products that incorporate them could still be imposed in the near future. This leaves open the possibility of more expansive trade measures affecting the tech industry. The policy reflects a continued focus on domestic manufacturing and a strategic approach to technology trade, particularly for components critical to artificial intelligence and advanced computing. By taxing chips destined for re-export while exempting those for domestic use, the administration aims to generate revenue from foreign sales while attempting to avoid immediate disruption to the buildout of US-based infrastructure and production. The long-term impact on global semiconductor trade flows and technology supply chains remains to be seen as the market adjusts to this new tariff structure.
