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U.S. Plans New Tariffs on Chinese Semiconductors by 2027, Sparking Market Turmoil

A bold U.S. move against China’s chip industry sends stocks tumbling. Will retaliation or negotiations define the next chapter of this high-stakes trade war?

In this image there is a table having few toys on it. Behind it there is wall hiding wires. On the...
In this image there is a table having few toys on it. Behind it there is wall hiding wires. On the table there are few packets having few objects in it.

U.S. Plans New Tariffs on Chinese Semiconductors by 2027, Sparking Market Turmoil

The United States has announced plans to impose new tariffs on Chinese semiconductors, escalating trade tensions between the two nations. The move follows an investigation into China’s industry policies and has already sent shockwaves through global markets.

The U.S. Trade Representative (USTR) revealed the proposed measures on Tuesday. The decision comes after a detailed review of China’s semiconductor sector, though no specific negotiator has been named yet. Implementation of the tariffs is currently set for June 2027, a delay from earlier timelines.

News of the potential tariffs caused immediate market reactions. Share prices for major chipmakers, including ASML, Besi, and ASMI, dropped sharply on the Amsterdam stock exchange. Investors appear concerned about the broader impact on global supply chains.

China responded swiftly, condemning the U.S. announcement. Officials warned that retaliatory actions would follow if Washington moves forward with the tariffs. The dispute marks another chapter in the ongoing trade conflict between the world’s two largest economies.

The proposed tariffs could reshape trade dynamics in the semiconductor industry. If enforced, they may disrupt supply chains and further strain U.S.-China relations. The delay until 2027 leaves room for negotiations—but also prolongs uncertainty for businesses.

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