Fact Sheet: President Donald J. Trump Takes Action on Certain Advanced Computing Chips to Protect America’s Economic and National Security

SUPPORTING AMERICA'S SEMICONDUCTOR INDUSTRY: Today, President Donald J. Trump signed a Proclamation invoking Section 232 of the Trade Expansion Act of 1962 (Act) to address national security concerns with respect to imports of semiconductors, semiconductor manufacturing equipment, and their derivative products.

• The President directed the U.S. Secretary of Commerce and U.S. Trade Representative to jointly negotiate agreements, or continue any current negotiations of agreements, to address the threatened impairment of the national security with respect to imports of semiconductors, semiconductor manufacturing equipment, and their derivative products from any country.
• The President also imposed a 25% tariff on certain advanced computing chips, such as the NVIDIA H200 and AMD MI325X. This tariff will not apply to chips that are imported to support the buildout of the U.S. technology supply chain and the strengthening of domestic manufacturing capacity for derivatives of semiconductors.
• In the near future, President Trump may impose broader tariffs on imports of semiconductors and their derivative products, as well as an accompanying tariff offset program to incentivize domestic manufacturing as previously announced.

ADDRESSING THE THREAT TO NATIONAL SECURITY: President Trump recognizes that restoring capacity for domestic production of semiconductors, semiconductor manufacturing equipment, and their derivative products is critical for economic and national security.

• This action follows the Secretary of Commerce's completion of a Section 232 investigation under the Act, which found that the present quantities and circumstances of the imports of semiconductors, semiconductor manufacturing equipment, and their derivative products threaten to impair national security.
• The United States' capacity to produce semiconductors, certain semiconductor manufacturing equipment such as advanced lithography and etching tools, and their derivative products is insufficient to meet domestic demand. This has led the United States to be dependent on foreign sources to meet domestic demand.
• Semiconductors are essential to the United States' economic, industrial, and military strength, and a disruption of import-reliant supply chains could strain the nation's industrial and military capabilities.
• Today's action will address the threat to national security by, among other things, incentivizing domestic production of semiconductors and reducing our nation's reliance on foreign sources and foreign supply chains.

BUILDING ON A RECORD OF SECURING CRITICAL INDUSTRIES: This Proclamation builds upon previous actions taken by the Trump Administration to ensure U.S. trade and industrial policies put America first.

• On Day One, President Trump established his America First Trade Policy to make America's economy great again.
• President Trump has repeatedly used Section 232 tariffs to protect against threats to our national security and to strengthen manufacturing sectors critical for our national and economic security, including steel, aluminum, copper, autos, and lumber.
• Throughout his first year back in office, President Trump has announced many historic international trade deals to defend domestic production while expanding market access with America's partners.