President Donald Trump's suggestion to impose tariffs on semiconductors manufactured in Taiwan has sparked concern in the tech industry, particularly for companies like Nvidia that heavily rely on Taiwan's TSMC for chip production. Trump's remarks aim to incentivize the return of chip manufacturing to the US, but such tariffs could significantly increase costs for Nvidia, Apple, AMD, and other US tech giants. The potential impact comes at a time when Nvidia is already facing challenges due to the emergence of competitive AI models.
President Donald Trump's pledge to impose tariffs on semiconductors made in Taiwan could deal a fresh blow to Nvidia , whose shares dropped by 17% on Monday in a DeepSeek-induced sell-off.Tech firms like Nvidia have long relied on Taiwan's
.Trump said companies wouldn't want to pay a '25%, 50%, or even a 100% tax.'US tariffs on Taiwan's semiconductors could result in a steep increase in costs to Nvidia and other significant customers, such as Apple and AMD. Chip manufacturing efforts in the US are less developed and more expensive than those in Taiwan.The threat of tariffs risks a double blow for Nvidia, one of
has moved some of its operations to the US, opening chip manufacturing plants in Arizona as part of a $65 billion initiative.While Trump has veered toward imposing tariffs to bolster US chip production, the US's chip manufacturing sector could take years to develop the same capacity as Taiwan's. That could mean higher prices for hardware that relies on chips from Taiwan, such as Apple's iPhones, Nvidia's GPUs, and AMD's processors.
SEMICONDUCTORS TARIFFS TAIWAN Nvidia AI
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