Trump Plans New Tariffs on Steel and Semiconductor Chips
During his flight to Alaska for a meeting with Russian President Vladimir Putin President Donald Trump announced his plan to impose steel and semiconductor chip tariffs in upcoming weeks. Trump announced his initial tariff rates would be low to stimulate domestic manufacturing before they would rise dramatically.
The president declined to provide particular tariff rates but described the strategy as similar to his pharmaceuticals policy which uses rising duty rates. The president believes manufacturers will choose domestic U.S. production instead of paying high import taxes.
The current steel and aluminum tariffs have been increased to 50% this year and Trump announced a 100% duty on semiconductors while providing exemptions to companies that establish U.S.-based manufacturing facilities.
The announcement from Apple about its $100 billion U.S. investment occurred during a time when Trump was promoting domestic supply chain reconstruction. The economic measures will increase prices for electronic devices and automobiles and other chip-dependent products which will create additional inflationary forces in the economy.
Dominic Maley is an American journalist recognized for his sharp and insightful reporting on social and political issues. His work is known for its depth, integrity, and the ability to highlight critical societal concerns.