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Tom’s Hardware
Tom’s Hardware
Technology
Anton Shilov

U.S. gov't mulls tariffing devices based on the number of chips used and their estimated value — policy would impact nearly every type of electronic device

Arm.

The U.S. government is evaluating a plan to tax imported electronics based on the number of chips they contain and their estimated value within the device, according to Reuters. This plan, which is still under internal review, could impact everything from basic gadgets like the Apple Watch to high-end servers, marking a shift toward chip-specific trade penalties. However, there are obvious difficulties associated with implementing such tariffs.

The proposed system would calculate tariffs as a percentage of the estimated value of semiconductors within a product. A preliminary version under consideration suggests rates of 25% for chip-dense imports and 15% for devices originating from Japan or the EU. Although still uncertain, the numbers indicate a shift toward creating a tiered tariff system based on origin and chip usage intensity.

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