U.S. Commerce Secretary Lutnick said in an interview on Thursday that if a semiconductor company commits to building a U.S. factory during Trump's presidency and fulfills its commitments, its chips will not face tariffs. The day before, Trump announced a plan to impose approximately 100% tariffs on imported chips.
"So what the president is saying is that if you commit to building a factory in the United States during his term, if you submit an application to the Commerce Department, if your auditor oversees your construction throughout, then he will allow you to import chips during construction without imposing tariffs," Lutnick said.
"But your construction in the United States has to be validated and monitored," he added.
Before Trump announced the new tariffs, he said on Tuesday that the United States planned to announce industry-specific tariffs "in the next week or so."
Some observers believe that South Korean chipmakers Samsung Electronics and SK Hynix are advancing investment plans in the U.S. states of Texas and Indiana respectively, and therefore may avoid new tariffs.
To impose tariffs on imported semiconductors, Trump invoked Section 232 of the Trade Expansion Act of 1962, which gives the U.S. president the power to adjust imports when he determines that imported products threaten national security.