Former President Donald Trump speaks to reporters on August 3, 2025, at the Lehigh Valley International Airport in Allentown, Pennsylvania. In calling for creation of new tariffs on semiconductor chips, there’s a lot to unpack here. He promised that more details about the tariffs would be forthcoming “in the next week or so.” This is a bit surprising given the fact that he just signed an executive order that raised tariff rates on imports from 20 countries.
On his third day in office, just days before, Trump had signed an executive order. This order sharply increases tariff rates for many of U.S. trading partners, primarily harming the semiconductor industry. During an interview with CNBC’s “Squawk Box,” Trump emphasized the importance of domestic production, stating, “We’re going to be announcing on semiconductors and chips, which is a separate category, because we want them made in the United States.”
The forthcoming announcement will turn that picture on its head with semiconductor import transformation. The administration is clearly intent on boosting domestic manufacturing and reducing reliance on foreign suppliers. With these new tariffs, import costs are increasing dramatically for the six designated countries. Trump failed to mention which countries would be hit hardest.
Trump spoke with reporters at the airport after finishing a day full of events across Pennsylvania. This latter state is important for garnering support from the deep bench of his political base. His administration’s broader economic policies are just as clearly focused on creating the conditions needed to strengthen U.S. manufacturing might. They further tackle trade imbalances—most notably, semiconductor tariffs.
As this story continues to evolve, industry insiders are understandably worried about what this would mean should new tariffs go into effect. Foreign trade representatives are in the fray as well. The semiconductor industry, which is an essential foundation for our economy, technology, national security, and jobs in the automotive and consumer electronics sectors.