
Trump Administration to Release Result of Probe into Chip Imports

Commerce Secretary Howard Lutnick stated that the Trump administration will reveal the findings of a national security investigation concerning semiconductor imports in two weeks, as President Donald Trump hinted at the possibility of increased tariffs. Lutnick informed reporters following a discussion between Trump and European Commission President Ursula von der Leyen that the inquiry was one of the main factors prompting the European Union to pursue a wider trade deal that would address everything simultaneously.
Trump stated that numerous companies, including those from Taiwan and elsewhere, would invest in semiconductor manufacturing in the United States to evade new tariffs.
He stated that von der Leyen had circumvented the upcoming chips tariffs "in a far more effective manner."
Trump and von der Leyen revealed a new framework trade deal featuring universal 15 percent tariffs on EU goods coming into the United States.
Trump mentioned that the deal encompassed automobiles, which encounter an elevated 25% tariff due to a distinct sectoral tariff measure.
In April, the Trump administration announced it was examining if significant dependence on foreign imports of drugs and semiconductors presented a national security risk.
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The investigation, carried out under Section 232 of the Trade Expansion Act of 1962, may establish the basis for new tariffs on imports in these two sectors.
The Trump administration has initiated independent investigations under the same statute concerning the imports of copper and lumber. Previous investigations conducted during Trump's initial term established the foundation for the 25% tariffs implemented upon his return to the White House in January, affecting steel, aluminum, and the auto sector.
Trump has disrupted international trade through a series of bold tariffs on trading partners, including a 10% duty that began in April, with plans for a significant increase for most major trading partners starting August 1.
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The U.S. depends significantly on chips imported from Taiwan, an issue that former Democratic President Joe Biden aimed to change during his presidency by providing billions in Chips Act funding to attract chip manufacturers to increase production domestically.