Summary
Trump plans to impose tariffs of up to 100% on semiconductors manufactured in Taiwan, aiming to push U.S. tech companies like Apple, Nvidia, and AMD to produce chips domestically.
The tariffs target Taiwan’s TSMC, a key supplier, despite its partial U.S. production in Arizona.
Trump criticized Biden’s CHIPS Act for funding companies like Intel and proposed tariffs as an alternative incentive.
Experts warn the move could raise prices for electronics as most TSMC chips are assembled in Asia before export to the U.S.
This dumb motherfucker is going to make our missiles twice as expensive.
Good think I didn’t throw out all those discrete transistors, we’re in for a loooot of soldering
Half of his actions in the past week, especially in the past couple of days, have done things to weaken the U.S. military. It can’t all be accidental. There’s too much.
Most of his orders have boiled down to “report to the President in X weeks” the biggest one is probably the transgender ban. Which, while it sucks, isn’t going to affect enough service members to meaningfully impact the military. So there’s a lot of virtue signaling but not much movement in the EOs for the military.
The biggest actual thing has been interrupting the training cycles of the light infantry divisions with Warning Orders for a large deployment to the Southern Border. He managed to interrupt the 101st, 10th, and 82nd. Which is ridiculously bad management.
Sure, nothing has happened yet, but I think you need to look at all the cuts that are planned. Not just weapons systems and ships, although those are on the chopping block, but also commissaries and even on-base schools.
I could see him closing schools but the commissaries and exchanges are run by a private company. I doubt he’s going to after AAFES.
I’m afraid it’s already in the works. I can’t find a summary of the details really well except this Reddit thread which also links to a long document which includes that.
TSMC opened a factory in Arizona, so it’s really a big f u to the people of Taiwan while the owners of tsmc are good to go.
I get the bring jobs to the US bit, but the cost will be passed on to consumers and the whole market will shrink. There are existing chip fab facilities in the US, maybe efforts should focus on why they can’t compete instead of reducing demand for electronics inside the US.
The breadth of products and industries this will touch is going to be massive. Even if you’re not buying electronics from a company, those companies still have to buy and replace their own electronics to operate which, if those prices go up, it raises operating costs. Your cheeseburger can get a bit pricier because of this.
Everything has a microcontroller anymore.
I read somewhere that the Taiwan government doesn’t allow advanced chip technology knowledge be used in the US factory?..
Photolithography itself was invented in the US a while ago, but the company that perfect the manufacturing process that is used for modern chips is in either Belgium or Denmark iirc. That company just leases its machines to TSMC so it’s entirely possible they could just move the machines to the USA. But that’s my surface level understanding, I don’t know for sure.
Netherlands, with key components (precision lenses) made in Germany. None of this could be made in the US in reasonable time.
It’s pretty funny how this is an attack that could backfire extremely.
Almost all of the advanced chips are made using ASML EUV machines. Which is a Dutch company.
If Trump continues on this path of self-destruction, attacking countries and companies around the world, the US might just end up with sub-par chip production like China has. (They have old ASML machines and aren’t getting any new ones). TSMC is one of the biggest partners of ASML and has a LOT of cards to play to get ASML to not supply any machines to the US.
It’s absolutely horrid that a boy like Trump has any power and doesn’t even know that his attacks are nothing more than a punch to his own balls. A normal politician would work on alliances to get chip production going in the US before fucking over all the companies relying on chips. Stuff like subsidies for local chip production are not news worthy enough for him to get any kick out of so he just flexes his power.
Yeah, we’ll be able to build usable chip factories here in the states in no time. That surely doesn’t take several years to get set up.
And they have to buy the machines for this in Europe, anyway.
So if I buy a smart toaster from overseas and that toaster was built with microchips, but is then sold to the US via another country… That would avoid the tariff, no?
Doesn’t this literally do the inverse of boosting local manufacturing?
The real question you did not ask is if this toaster is smarter than Trump.Yes it is.
It’s also weird that we would Tariff Taiwan while they’re in the middle of a losing power struggle with China.
Not weird when you realize that either the CCP or one of the Chinese companies that are required to have party members on board, “donated” to Trump’s inauguration fund.
Oh for sure, and online misinformation and TikTok were both the CCP boosting Trump during the campaign as well, but I meant weird from a sane person’s perspective.
This is signalling that the US Is geopolitically abandoning Taiwan, Surrendering it to China. Looks like a backdoor deal has been made, CCP will move in by 2030. And the US isn’t going to fight
Every single person who calls themselves Ukrainian should be thanking their lucky stars Biden was in the whitehouse when Putin decided to start the Russkiy Mir game. Trump would have sold the country out and they would have lost their sovereignty with a whimper, and not a penny of support from the west. At least they were given a chance to fight their aggressors. Taiwan on the other hand, will lose everything, including their dignity.
Let’s explain tariffs so that even a baby like trump could understand.
If an item is sold for $1 and you put 100% tariff on it, it now costs $2 for a consumer in the US to buy. The government doesn’t get to take the $1 that the company is selling it for, they still make their $1 regardless of the tariff. All this does is force the US buyer to pay more.
I guess he could understand it if this is designed to funnel more money to the government but it’s gonna start impacting his tech bro handlers.
It makes a lot of sense if the government money is now his own money
I just want to add one thing, the people in the country that issue the tariff also have no incentive to ignore the new price floor that the tariff represents. Instead, they will set their price to just below the new tariff floor and pocket what ever difference there is
Yes, but the goal of a tarrif is to create incentives for onshore investment and development to come it at a $1.50 price point. We, in general, have moved past that by using subsidies to not create issues for the economy in the short term.
This is really dumb for a number of reasons. But first and foremost, we have a strong alliance with Taiwan, we should be trying to maintain that connection and not let our relationship become hostile. We have military bases in Taiwan, this is part of how we keep a close eye on China. If nothing else, Taiwan is strategically important to us.
In other words, don’t fuck up years of successful diplomacy to make a quick buck like a nearsighted moron.
We have military bases in Taiwan
The US does not have military bases in Taiwan anymore - not since the US switched diplomatic recognition from the ROC to the PRC in 1979 - one of the concessions to the PRC was the removal of US military presence from Taiwan.
like a nearsighted moron
Uh, thing is, that’s 99.999999% of republicans right there.
[…] proposed tariffs as an alternative incentive.
He learned one word and basis his entire view on economy on it.
He learned how to pronounce a word but only has concepts of its meaning. He still thinks the exporter pays tariffs.
Tim Apple; that’s your cue to send the next million for “inauguration”…
Well since there’s no more income tax, we will need the from money somewhere. Taiwan will pay!!! /SSSSSSSSSS but seriously, he said we will now fund our economy with tarriffs, then says we will tarriff to move things here, which would NOT bring in funds. I’m so confused.
It helps to remind yourself that he’s basically a barely sentient Christmas ham.
Ham is delicious. I think Trump is more like a bowl of dumpster water gazpacho.
There is plenty of taxes still to be paid by the 99%. Trump is keeping his promise to raise our taxes.
Isn’t there a TSMC plant in Arizona and the chips act also bolstered Intel as well?
The guy doesn’t realize that all these companies are funding our EUV technology. If one falls so do the others. Our meaning our part. The whole EUV thing is a total ecosystem that is globally connected. The thing barely works at all according to science and people are working day and night to make it work more reliably. On top of thar, now they have to put up with less profit.
But sure! Chips!
Chip chip chip! C’mon! Chip chip chip!
First of all, who painted a target on this guys foot?
Second of all, who left the gun unsupervised?
