# The United States imposed a 25 per cent tariff on imports of certain semiconductors. *semiconductor · news · 2026-01-14 · Financial Post* ## Key points - The U.S. imposed a 25% tariff on certain semiconductors as a condition for Nvidia's China sales. - Trump's order allows Nvidia to ship Taiwan-made H200 AI processors to China pending export licenses. - The 25% tariff applies to chips transshipped through the U.S., not those used domestically. - Taiwanese officials are in Washington to negotiate lowering the overall U.S. tariff to 15% and expand TSMC production. Article content The United States imposed a 25 per cent tariff on imports of certain semiconductors, a key step in an agreement blessed by President Donald Trump allowing Nvidia Corp. to ship Taiwan-made H200 artificial intelligence processors to China. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. 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Daily puzzles, including the New York Times Crossword. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Sign In or Create an Account Email Address or Article content Under an order Trump signed on Wednesday, the government would collect the duty on the chips as they’re brought to the U.S. before final shipment to Chinese customers and other foreign markets. Nvidia relies on Taiwan Semiconductor Manufacturing Co. to produce the chips it designs, including the H200 that was cleared for sale to China by Trump in December. Article content We apologize, but this video has failed to load. Try refreshing your browser, or tap here to see other videos from our team. U.S. sets 25% tariff on some chip sales as part of Nvidia deal Back to video We apologize, but this video has failed to load. Try refreshing your browser, or tap here to see other videos from our team. Article content Article content “It’s not the highest level, but it’s a very good level. And China wants them, and other people want them, and we’re going to be making 25 per cent of the sale of those chips, basically,” Trump told reporters Wednesday during a signing ceremony. Article content The full text of the directive was not immediately available, and the scope could apply to chips other than the H200. Article content Trump signed the measure a day after the Commerce Department’s Bureau of Industry and Security eased its criteria for securing licenses to export H200 chips to China. The president didn’t refer to Nvidia by name but cited two of its platforms, the Blackwell and the Rubin, saying “those are the two top but it’s a very good chip, and people want it, and we think it’s in our best interest to do it.” Article content The duty would apply to chips “transshipped through the United States to other foreign countries” and not those used domestically, White House staff secretary Will Scharf said. Article content That surcharge is a condition Trump required in exchange for allowing Nvidia to sell in China. The U.S. must still take additional actions before Nvidia can send the chips to China, including the approval of export licenses by BIS. That process can take weeks or months and it’s unclear when it will conclude. Article content Article content Taiwanese products have generally faced a 20 per cent tariff upon entering the U.S., though semiconductors have been spared as Commerce officials conduct a national security investigation into whether new levies should be applied across the chip sector. Trump has yet to follow on imposing tariffs, as negotiations with Taiwan and major technology companies continue. Article content Read More Article content Top Taiwanese officials were travelling to Washington on Wednesday for talks on finalizing a deal to lower its overall tariff rate to 15 per cent and expand TSMC production facilities in the U.S., according to people familiar with the matter. Article content Trump’s decision marked a significant victory for Nvidia, which has pushed U.S. policymakers to loosen export controls that have kept the company from selling its AI chips to the world’s largest semiconductor market. Nvidia chief executive Jensen Huang has forged a close relationship with Trump and has used those ties to persuade the president that restrictions only boost Chinese domestic giants, such as Huawei Technologies Co. **Companies:** Nvidia Corp., Taiwan Semiconductor Manufacturing Co. **Countries:** United States, China, Taiwan [Read the full story on Financial Post](https://financialpost.com/news/u-s-sets-tariff-on-chip-sales) --- Canonical: https://newsio.io/n/1f11c92d-c453-42d4-a074-1f18cd0b0c7e/the-united-states-imposed-a-25-per-cent-tariff-on-imports-of-certain-semiconduct Summarized by Newsio from Financial Post. https://newsio.io/how-it-works