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Nvidia confirmed that its CEO Jensen Huang met with U.S. President Donald Trump to debate U.S. expertise and AI management.
“We appreciated the opportunity to meet with President Trump and discuss semiconductors and AI policy. Jensen and the president discussed the importance of strengthening U.S. technology and AI leadership,” mentioned an Nvidia spokesperson.
The assembly came about as we speak and it coincidentally is going on a day earlier than Trump promised to impose a bunch of tariffs on merchandise together with semiconductor chips.
Earlier this week, Trump known as for tariffs on international pc chips, semiconductors, and prescribed drugs from locations like Taiwan within the close to future.
Within the speech on the Home GOP Points Convention in Miami, Trump mentioned that producers additionally don’t want an incentive to construct their chip factories within the U.S. He advised he would take away Joe Biden’s program of paying subsidies to chip makers like Intel to construct within the U.S.
The impression of such tariffs may very well be enormous. The Client Know-how Affiliation, the lobbying group for the U.S. electronics {industry}, warned that tariffs might take the price of recreation consoles from the tons of of {dollars} to $1,000.
“In the very near future, we’re going to be placing tariffs on foreign productions of computer chips, semiconductors and pharmaceuticals to return production of these essential goods to the United States of America,” Trump mentioned. “They left us and they went to Taiwan, which is about 98% of the chip business, by the way. And we want them to come back and we won’t to give them billions of dollars like this ridiculous program that Biden has.”
The bipartisan-supported Chips & Science Act earmarked $52 billion in subsidies to allow firms to construct factories within the U.S. Intel, TSMC, Coherent and Analog Gadgets have been among the many firms receiving grants from the Biden administration.
”Give all people billions of {dollars}. They have already got billions of {dollars}. They’ve bought nothing however cash Joe. They didn’t want cash,” Trump mentioned. “They needed an incentive. And the incentive is going to be they are not going to want to pay a 25, 50 or even 100% tax. They are going to build the factory with their own money. We don’t have to give them money. They are going to come in because it’s good for them to come in. You give them money and they don’t know what to do with it.”
Due to incentives quite than tariffs, the SIA mentioned this month that the Chips and Science Act is on observe to strengthen American manufacturing, create jobs, enhance financial development, and promote nationwide safety. The act’s manufacturing incentives have sparked substantial introduced investments within the U.S., the group mentioned. Intel mentioned this week it has obtained greater than $2 billion below the act.
“In actual fact, firms within the semiconductor ecosystem have introduced 90 new initiatives throughout 28 U.S. states—totaling tons of of billions of {dollars} in non-public investments—because the Chips and Science Act was launched. These introduced initiatives will create greater than 58,000 jobs within the semiconductor ecosystem and assist tons of of hundreds of extra U.S. jobs all through the U.S. financial system.
An SIA-Boston Consulting Group report launched final Might projected the USA will triple its home semiconductor manufacturing capability from 2022—when the act was enacted—to 2032. The projected 203% development is the biggest projected % enhance on this planet over that point. The report additionally projected America will seize over one-quarter (28%) of complete world capital expenditures from 2024 to 2032.
The Client Know-how Affiliation mentioned throughout CES 2025 that the proposed tariffs might enhance costs on laptops and tablets by 46%, recreation consoles by 40%, and smartphones by 26%.
