Donald Trump vows to put tariffs on foreign chips “in the very near future” and calls DeepSeek's AI progress “a positive” and “a wake-up call” for US industries

President Donald Trump said he would soon impose tariffs on foreign pharmaceuticals …

Bloomberg 2025-01-28

Context & Ripple Effects

This was an early signal that chip sourcing and AI competitiveness would be treated as linked policy concerns: Trump paired a pledge to tariff foreign chips with praise for DeepSeek’s progress as a prompt for US industry.

Later coverage shows the proposal becoming more concrete, from a plan to announce chip tariffs to a stated roughly 100% tariff for chips and semiconductors, while industry figures warned that the broader trade fight could raise US build-out costs.

First-order effects

Foreign-made chips face immediate policy uncertainty, forcing importers, device makers and data-center buyers to reassess sourcing and cost exposure before tariff details are set.
US chip and AI industries receive a clear political signal: domestic production and competitive responses to Chinese AI advances are becoming connected priorities.

Second-order effects

Manufacturers and cloud infrastructure operators may accelerate supplier diversification or US production commitments, while passing any higher component costs through supply chains where possible.
The tension is that tariffs intended to favor domestic capacity can also raise the cost of fabs and AI data centers, a risk highlighted in warnings about trade-war costs for US computing infrastructure.

Third-order effects

If this approach persists, semiconductor policy is likely to shift further from narrow trade administration toward industrial strategy in which access to compute and the location of production are strategic levers.
AI competition may increasingly be judged by the efficiency and availability of underlying hardware, not only by model performance; the eventual tariff design will determine whether protection and infrastructure affordability can coexist.

The trend: This is one data point in the convergence of AI competition, semiconductor supply chains and state-directed industrial policy.

Discussion

@firstadopter Tae Kim on bluesky
Maybe you shouldn't tax the products of your leading AI chip and computer companies with an additional 100% tariff and force them to use 2nd rate tech domestic chip factories before they are ready when you want to win the absolutely critical global AI race during the next four ye…
@simli @simli on bluesky
hopefully this is a very dumb attempt at taking credit for biden's chips act to onshore semiconductor fabbing but who the hell knows man [embedded post]
@schumer.senate.gov Chuck Schumer on bluesky
The DeepSeek announcement from China has been called by some AI's “Sputnik moment” for America. — It's precisely why I made AI a top priority in the last Congress and will keep at it.
@schumer.senate.gov Chuck Schumer on bluesky
Our competitors are going to use every single opportunity they get to overtake the US's lead on the technologies of the future. — We have to lead the way.
@davidsacks David Sacks on x
DeepSeek R1 shows that the AI race will be very competitive and that President Trump was right to rescind the Biden EO, which hamstrung American AI companies without asking whether China would do the same. (Obviously not.) I'm confident in the U.S. but we can't be complacent.
@financelancelot @financelancelot on x
BREAKING: President Trump announces the U.S. will be placing tariffs on all semi-conductors and pharmaceuticals imported from 🇹🇼Taiwan in the very near future [video]
@zlingerrr @zlingerrr on x
my group chats are united in being absolutely unable to parse what the fuck trump is doing with taiwan policy
@fluxtheorist @fluxtheorist on x
The tech bros who thought Trump would bring le based chip discounts and American AI boosts must be feeling suicidal this week. First DeepSeek now sky high chip prices. [image]
@drewpavlou Drew Pavlou on x
This is potentially one of the worst ideas I've ever seen by any Western politician anywhere. It would be a massive help to the Chinese Communist Party
@rnaudbertrand Arnaud Bertrand on x
Sooner rather than later we might arrive at the ironic situation where Taipei will have to turn to Beijing to ask for protection against hostile U.S. actions. And maybe that's precisely the point. Maybe unlike his predecessors Trump has made peace with the fact that Taiwan can't
@poorlyreasoned @poorlyreasoned on x
If Trump were in fact an agent of a hostile foreign power trying to undermine American power, what exactly would he be doing differently
@autismcapital @autismcapital on x
🚨TRUMP: “The release of DeepSeek AI from a Chinese company should be a wake up call for our industries that we should be laser focused on competing to win. We have the best scientists in the world. This is very unusual. We always have the ideas. We're always first.” [video]
@iloveindomieyes @iloveindomieyes on x
Masterful gambit by Comrade President Xi [image]
@ettingermentum @ettingermentum on x
Bro lmfao
@coopercooperco @coopercooperco on x
oh my god dude lol
@drewpavlou Drew Pavlou on x
If Trump was looking to deindustrialise Taiwan before handing it over to China as part of some Grand Concordat, it would look exactly like this proposal. Very dangerous and alarming [image]
@noahpinion Noah Smith on x
This is a very bad idea
@liv_agar Liv on x
... what?
@posting_forever @posting_forever on x
I mean then that's game, then. They're going to peacefully reunify within the decade.
@zhao_dashuai Zhao DaShuai on x
I fully support president Trump to dismantle Taiwan's semiconductor industry and move it to the US. This is a great move, it severs the need for US involvement in a Taiwan scenario. A great move towards peace. [video]
@jonst0kes Jon Stokes on x
This was my first reaction but someone smart suggested it was about creating leverage to get TSMC to invest more in US fabs (the chips the they make here wouldn't get the tariffs), & that scans to me.
@puppospraxis @puppospraxis on x
[image]
@acyn @acyn on x
Trump on DeepSeek: I view that as a positive. If it is fact and it is true, and nobody knows, but I view that as a positive. [video]
@tszzl Roon on x
this didn't move overnight markets at all which either means markets either: - don't believe it's credible - were pricing this in yesterday while internet was blaming the crash out on deepseek
@njsilvadyne Victoria D.S. on x
unbelievably funny that his whole “comeback” was based on openly soliciting bribes from Silicon Valley bcus it was the only way he could get anyone to associate with him after the 2020 spergout & then he just does he's always done and screws them. sorry thieltards, no refunds!
@rpsagainsttrump @rpsagainsttrump on x
NEW: Donald Trump announced that he plans to impose massive tariffs on Taiwan-made chips: “We do not want to give them billions of dollars like this ridiculous program that Biden has given everybody billions of dollars.” This is how you Make China Great Again! [video]
@badiucao @badiucao on x
For those who believe Trump will defeat China and save Taiwan，u need to understand Trump's goal is to squeeze clean value of Taiwan before sold it out to China.
@captain_fubar @captain_fubar on x
Withdrawing from the CHIPS act and crippling your entire tech industry to own the libs [image]
@pbgomez_ P.B. Gomez on x
So either Trump genuinely wants China to annex Taiwan or he's a complete fucking dipshit, there is no third option. From the perspective of maintaining American hegemony in East Asia, this is shooting yourself in both feet and then once in the hand for good measure.
@posting_forever @posting_forever on x
Trump deciding to threaten tariffs on Taiwan for no reason after a bloodbath day on the NASDAQ [video]
@stevenglinert @stevenglinert on x
This is a really bizarre move.
@jachaseyoung Jordan Chase-Young on x
Literally every tech person who supported this guy rn [image]
@clairlemon Claire Lehmann on x
Huh? Why....?
@balajis Balaji on x
Is it wise to alienate allies like Taiwan, Canada, the EU, and the UK — plus many smaller countries like Panama and Denmark — in the middle of hot war with Russia, cold war with China, and cold civil war with Democrats? No need to fight everyone at once.
@armanddoma Armand Domalewski on x
Trump is selling us out to China
@alexgodofsky Alex Godofsky on x
This is getting really old really fast
@daniellefong @daniellefong on x
me yesterday: it kind of looks like trump is going to sell out taiwan. better prepare today:
@noemiemakesmaps @noemiemakesmaps on x
ENJOYING THE SHOW? REFILL YOUR SHORT POSITIONS, YOU'LL LOVE THIS NEXT PART [image]
@notpotbol @notpotbol on x
PLEASE PLEASE PLEASE PLEASE IT WOIOS BE SO FUNNY
@badiucao @badiucao on x
Trump's 1st week in power, 1. saved Tiktok 2. lose AI competition to China 3. not even mentioning tariff against China 4. announce tariff on Taiwan
@princevogel Prince Vogelfrei on x
If Trump sells out Taiwan to China I am voting for a Democrat in 2028 even if their ticket is Stalin and Pol Pot
@byron_wan Byron Wan on x
It baffles me that Trump is slapping tariffs on allies like Canada and Taiwan while going soft on China...
@quantian1 @quantian1 on x
?¿??¿¿¿ ?????¿¿¿¿ ¿¿¿¿ ?????????????
@dnystedt Dan Nystedt on x
Not great. Nothing President Trump said about Taiwan was correct. Info from China's spy agency?
r/gadgets r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/Economics r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/lazerpig r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/wallstreetbets r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/moderatepolitics r on reddit
Trump Announces Tariffs on Chips, Semi-Conductors, Pharmaceuticals From Taiwan
r/Games r on reddit
US To Tariff Chips Made In Taiwan, Targeting TSMC
r/China r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/Semiconductors r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/economicCollapse r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/worldnews r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/ProfessorFinance r on reddit
The US will be Imposing Tariffs on Taiwanese Semi-Conductors and Pharmaceuticals
r/pcgaming r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/NVDA_Stock r on reddit
Up to 100% tariffs on chips like those made by NVDA. Hurray.
r/NVDA_Stock r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/hardware r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/centrist r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/LinusTechTips r on reddit
What if literally everything electronic was more expensive?
r/economy r on reddit
Trump To Tariff Chips Made In Taiwan, Targeting TSMC
r/WallStreetbetsELITE r on reddit
Uhhhhhhh

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