Donald Trump’s prospective return to the presidency has raised concerns in the global semiconductor industry.

Trump has criticized the CHIPS and Science Act, favoring tariffs over federal subsidies to boost chip manufacturing in the United States.

Under the previous administration, the CHIPS and Science Act provided substantial funding to foreign companies for building US chip factories.

Samsung is set to receive US$6.4 billion for its Texas facility, and SK Hynix anticipates US$450 million for its Indiana project.

Trump’s proposed tariffs aimed at isolating China could lead to complex outcomes for South Korean chip firms.

These tariffs may hinder China’s chip market progress but could also advantage South Korean producers by encouraging US-based production.