President Donald Trump revealed on Sunday that his administration is preparing to roll out a new round of tariffs targeting semiconductor chips within the coming week. While the move is being positioned as part of a broader effort to bolster national security, the president also hinted that certain technology firms could be spared—at least partially—from the economic hit.
The announcement adds fresh tension to an already complex trade relationship with China and puts the spotlight squarely on the tech sector, which is heavily reliant on Chinese manufacturing for everything from smartphones to high-end computer chips.
A Push for Domestic Manufacturing
Speaking with reporters aboard Air Force One after returning from a weekend at Mar-a-Lago, Trump emphasized that the forthcoming tariffs are aimed at encouraging domestic production of critical technologies. He underscored the need for strategic flexibility, acknowledging that some companies may receive exemptions depending on their circumstances.
“We’re going to announce something on semiconductors over the next week,” Trump said. “You have to show a certain flexibility, nobody should be so rigid.”
Pressed further on which products might be excluded, Trump was vague, simply saying, “For some products.” He made it clear that discussions with tech companies are ongoing, and decisions are being weighed on a case-by-case basis.
Relief That May Not Last
Just days earlier, the White House issued a memo titled “Clarification of Exceptions Under Executive Order 14257 of April 2, 2025, as Amended.” In it, the administration temporarily shielded key electronics—such as smartphones, laptops, and semiconductors—from the recently imposed 125% tariffs on Chinese imports. The document offered a brief sigh of relief for companies like Apple and Nvidia, which depend on Chinese factories for much of their hardware.
But the celebration was short-lived.
Commerce Secretary Howard Lutnick appeared on ABC News Sunday to clarify that the exemptions are only temporary. “This is not a long-term exemption,” he said, explaining that the administration is actively reviewing the broader electronics supply chain with national security top of mind.
Tariff Talk Sparks Confusion
Adding to the mixed messaging, Trump took to Truth Social early Sunday to refute reports that any formal exceptions had been made. “There was NO exception made on Friday,” he wrote. “We’re taking a look at Semiconductors and the WHOLE ELECTRONICS SUPPLY CHAIN in the upcoming National Security Tariff Investigations.”
Later, during his remarks on Air Force One, Trump explained the need to “uncomplicate” things for certain companies, suggesting that the administration’s ultimate goal is to create a clearer path for U.S.-based manufacturing.
“We want to make our chips and semiconductors and other things in our country,” he said.
Tech Industry Braces for More Turbulence
The back-and-forth from the administration has left the tech industry in a state of limbo. For companies like Apple and Nvidia, which are deeply entangled in global supply chains, the sudden policy shifts create both logistical and financial headaches.
According to Axios’ Courtenay Brown, the weekend whiplash reflects a broader pattern of unpredictability in Trump’s trade strategy. What began as encouraging news for tech companies now appears less stable, with Trump signaling that any relief could vanish just as quickly as it appeared.
“Tariff relief for electronics from China may be fleeting,” Brown noted, capturing the uncertainty felt across Silicon Valley and Wall Street.
National Security vs. Economic Impact
Trump’s aggressive stance on re-shoring production aligns with his long-standing goal to reduce America’s dependence on Chinese imports. His administration argues that semiconductors and related technologies are too vital to national security to be left in the hands of foreign suppliers.
Yet industry leaders warn that harsh or sudden tariffs could drive up costs, slow production, and weaken the competitiveness of U.S. tech firms. The sector has repeatedly called for measured policies that account for both strategic goals and economic realities.
Analysts note that while the president’s intentions to boost domestic manufacturing are clear, the method—especially when policy changes shift from one day to the next—makes it difficult for companies to plan ahead.