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Over the past week, tariffs have been in full focus as President Donald Trump continues pushing the U.S. towards another global trade war.
He recently made the controversial decision to move forward with a 25% tariff on almost all imports from Canada and Mexico, a move that many economic experts advised against. On top of that, he has opted to double the tariff on Chinese imports from 10% to 20% and all three nations are poised to retaliate.
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While Trump has announced a temporary pause on automotive imports, rising uncertainty continues to cast dark shadows over financial markets, raising questions regarding the future not just of the U.S. but the entire global economy.
Trump’s decisions have drawn significant ire as stocks experience high volatility and consumers prepare for high prices. But he may be considering one that could significantly impact a company planning a massive U.S. investment.
The next tariff casualty could have severe repercussions
It’s clear that many companies will be significantly impacted as the tariffs move forward, both those from the U.S. and against it. Higher prices for consumers will lead to less spending but U.S. consumers aren’t the only ones who will feel these negative effects.
As TheStreet recently reported, tech companies with high exposure to China will likely be severely undermined, as domestic companies are able to undermine their prices. But Trump isn’t done yet: according to reports, he may be considering another tariff on a company that is expanding into the U.S.
Related: China responds to tariffs with shocking move
Taiwan Semiconductor Manufacturing Company (TSM) has been one of the biggest beneficiaries of the global artificial intelligence (AI) boom. The leading chipmaker has been focused on furthering its reach lately, and last week, it announced plans to invest $100 billion in developing new fabrication plants on U.S. soil.
In many ways, this is a highly positive development for the U.S. as it looks to continue increasing its share of the booming AI market and uphold its dominance in the lucrative field of semiconductor production. However, a recent report indicates that Trump may still be planning to levy tariffs against Taiwan.
In January 2025, Trump announced that the U.S. would be imposing tariffs on foreign-made semiconductors in the “very near future.” According to a source who spoke to WIRED about Trump’s plans, that day may be quickly approaching.
“One version of the plan," the person says, "would involve placing import duties not just on Taiwanese chips themselves but also on electronic devices that contain them, such as Apple iPhones.”