U.S. semiconductor tools producers are dealing with potential annual losses exceeding $1 billion as a consequence of new tariffs proposed by President Donald Trump’s administration. Main firms like Utilized Supplies, Lam Analysis, and KLA may every incur losses of roughly $350 million, whereas smaller companies comparable to Onto Innovation might also expertise important monetary impacts.
These projected losses stem from anticipated declines in abroad gross sales of much less superior tools, elevated prices from sourcing different parts, and bills associated to tariff compliance. The Trump administration has briefly paused beforehand introduced reciprocal tariffs however is contemplating additional actions to advertise home manufacturing, together with initiating an import investigation.
This improvement provides to the challenges already confronted by the trade following former President Biden’s export controls geared toward limiting superior chip manufacturing in China, which have prompted China to bolster its home semiconductor capabilities. Business representatives have been in discussions with U.S. officers, emphasizing the necessity to think about the broader implications of those tariffs on the worldwide semiconductor provide chain.
