US President Donald Trump described the advancements of the Chinese AI firm DeepSeek as a significant concern for American industries.

Speaking at a Republican event in Miami, Florida, Trump called for increased competitiveness among US tech firms following DeepSeek’s recent technological breakthrough.

DeepSeek’s AI reasoning model, R1, was released as open-source last week, raising alarms about China’s rapidly advancing AI capabilities.

The open-sourcing of R1 has led to significant market reactions, including a US$592.7 billion drop in Nvidia’s market value.

Trump reiterated support for reshoring semiconductor production and suggested potential tariffs on overseas-made chips, including those from Taiwan’s TSMC.