The U.S. Department of Commerce is intensifying its review of semiconductor imports, assessing the potential for domestic chip industries, and implementing export control measures.

Reports from WCCFtech indicate that self-sufficiency in chips became a primary goal under the Trump administration. Federal Register documents suggest an imminent increase in tariffs on imported semiconductors and further government support for manufacturers like Intel is likely as the Department of Commerce explores ways to bolster the domestic chip market.

The document reveals that the U.S. Department of Commerce will evaluate the supply capabilities and technological advancements of domestic semiconductor producers, particularly those utilizing advanced processes. This evaluation focuses on accelerating production expansion within companies such as Intel Foundry in America—currently representing a limited number of local enterprises with high-end manufacturing capacities.

The investigation also aims to assess risks associated with potential export restrictions imposed abroad (possibly referring to Taiwan), signaling an increasingly proactive stance by the new U.S. Commerce Department toward fostering domestic semiconductor industries.

While Intel’s latest 18A process node has not yet met market expectations, it represents significant progress for this leading American chip manufacturer and is expected to continue growing alongside TSMC's expansion in America.

The report suggests that policymakers must decide between relying on foreign enterprises or developing local capabilities; the investigation indicates a preference within the Trump administration for building domestic strength over sole reliance on international suppliers. Regarding tariffs, President Trump recently stated that any existing exemptions for semiconductors are temporary and future policies may include specific “semiconductor tariffs,” a direction currently being prepared by the Commerce Department.

(Featured image source: Flickr/Gage Skidmore CC BY 2.0)