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Semiconductor exemptions don’t matter when it comes to tariffs

cryptoweekly by cryptoweekly
May 22, 2025
in bitcoin, News
0

Semiconductor exemptions from recent US tariffs are largely illusory. Most enter via finished products like servers, GPUs, laptops and phones. The supposed benefits of semiconductor exemptions are erased.

Opinion by: Ahmad Shadid of O.xyz

Semiconductors scored a rare exemption from US President Donald Trump’s aggressive reciprocal tariffs, but the relief is symbolic at best. Most semiconductors enter the US embedded in servers, GPUs, laptops, and smartphones. 

The finished goods remain heavily tariffed, some with duties reaching up to 49%. The exemption looks good politically but delivers little practical benefit. Nvidia’s DGX systems, crucial for training advanced AI models, do not fall under the exempted HTS codes. Nvidia could pay effective tariffs nearing 40% on these vital components. Such costs threaten to stall critical AI infrastructure projects across the country. 

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