The administration of US President Donald Trump announced yesterday that it will impose tariffs on Chinese semiconductor imports following the country's increasing efforts to completely dominate the chip industry.
However, the tariffs will be postponed until June 2027 with the tariff rate to be announced at least 30 days in advance.
In a statement, US Trade Representative Jamieson Greer stated that China's actions to dominate the semiconductor sector are unreasonable and risk affecting US trade.
The Chinese Embassy in Washington objected to the implementation of the tariffs because the action is an attempt to manipulate trade and technology issues.
They also stressed that the measure will affect the stability of the global supply chain, and will not benefit any party.
Meanwhile, the postponement measure was implemented to reduce the conflict between the US and China.
It is a response to Beijing's export restrictions on rare earth metals, a key component in the world's technology industry, which they tightly control.
As part of talks with China to ease the sanctions, Washington has rejected rules aimed at restricting exports of US technology to units of blacklisted Chinese companies.
The US is also reviewing approval for the shipment of AI chips to China, despite concerns that the technology could strengthen Beijing's military, according to a Reuters news report.
