The United States will introduce new tariffs on semiconductor imports from China, according to a filing from the US Trade Representative’s office cited by Reuters on Tuesday. The move marks a further escalation in trade measures targeting China’s technology sector.
Tariff implementation to be phased in
According to the document, the tariff rate will initially be set at 0% before rising after an 18-month period. The exact level of the tariff increase will be announced at a later stage, suggesting that US authorities are allowing a transition window for supply chains and market participants to adjust.
Limited market reaction
Financial markets showed little immediate response to the headline. At the time of writing, the S&P 500 Index was down 0.07% on the day, while the Nasdaq Composite slipped 0.2% to 25,411.40, indicating that investors largely shrugged off the announcement in early trading.
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