U.S. Tariffs Target China's Legacy Semiconductors

The U.S. Trade Representative's Office is investigating older Chinese-made semiconductors, potentially imposing more tariffs. The initiative, which began under President Biden, seeks to protect American semiconductor producers from China’s significant domestic chip supply increase. A 50% U.S. tariff on Chinese semiconductors commenced January 1.

The United States Trade Representative's Office is preparing for a crucial hearing on Tuesday to examine Chinese-made "legacy" semiconductors. These chips, integral to a range of everyday products, from automobiles to telecommunications equipment, may soon face increased U.S. tariffs.

This investigation was launched in December under President Joe Biden's administration. Its primary purpose is to shield American semiconductor manufacturers from China's aggressive state-supported expansion of its domestic chip production capacity.

Since January 1, the United States has already imposed a steep 50% tariff on semiconductors imported from China, signaling a robust stance in protecting domestic technological industries.

(With inputs from agencies.)