economy
Trump orders new 15% tariff on key material for solar panels and microchips
Move to raise levy on goods made with polysilicon aims to protect domestic US supply chains from China, the major producer
TL;DR
- A new 15% tariff will be imposed on imported polysilicon products, effective December 4th.
- Polysilicon is a key ingredient for semiconductors used in AI, datacenters, and solar power.
- The tariff aims to support US chip and solar panel supply chains and compete with China.
- China's foreign affairs ministry criticized the tariff as protectionist and harmful to trade.
- The US has two main polysilicon factories: Hemlock Semiconductor in Michigan and Wacker Chemie in Tennessee.
- The order includes minimum import prices for polysilicon and related products.
- The US commerce department may create an incentive program for companies investing in polysilicon production.