The Trump administration is weighing new tariffs on foreign electronics based on the number of chips in each product, according to three sources.

The Commerce Department would set tariffs as a percentage of a device’s chip content value, aiming to push companies to manufacture in the US.

White House spokesperson Kush Desai said the US should not rely on foreign-made chips, citing national and economic security.

If enacted, the tariffs could hit products from toothbrushes to laptops and raise consumer prices while inflation is above target, economist Michael Strain warned.

Sources said a 25% tariff is being considered for chip-related content, with 15% for electronics from Japan and the EU, though details on exemptions remain unclear.

Major non-US chipmakers include TSMC and Samsung Electronics.

🔗 Source: Reuters