Overview

• The administration is evaluating a mandate that would require chipmakers to produce in the United States as many semiconductors as their customers import, with tariff penalties for companies that fail to maintain the ratio over time.
• Reporting says firms that pledge new domestic fabrication capacity could receive credits allowing tariff-free imports until those plants are completed and initial output ramps.
• In a separate discussion described by Reuters, officials are considering tariffs on imported electronics based on estimated chip content, a still-unfinalized approach that sources say could cover a wide range of devices and has included preliminary rate ideas.
• Commerce Secretary Howard Lutnick has floated the proposals with semiconductor executives, and the White House says the effort is necessary to reduce reliance on foreign chips for national and economic security.
• Analysts flag major implementation and cost hurdles that could take years to resolve, with potential benefits for U.S.-based or U.S.-expanding foundries and higher compliance risks for globally reliant tech firms; Intel shares rose on the reports.