US Warns Foreign Memory Chip Makers of 100% Tariffs

US Commerce Secretary Howard Lutnick warned foreign memory chip manufacturers on Friday that they face potential 100 percent tariffs on their products unless they increase production in the United States, a statement made during the groundbreaking ceremony for Micron Technology's new factory near Syracuse, New York.

Lutnick, speaking after the event for Micron's planned $100 billion complex, described the policy as a clear choice for companies seeking access to the US market. "Everyone who wants to build memory has two choices: They can pay a 100 percent tariff, or they can build in America," he said. "That's industrial policy." The remarks target major producers, particularly from South Korea and Taiwan, amid efforts to bolster domestic semiconductor manufacturing and reduce reliance on imports.

The threat ties into recent trade agreements. A deal signed with Taiwan on Thursday allows companies building new US facilities to import up to 2.5 times their current capacity tariff-free during construction, with a lower rate applying to excess shipments. That quota drops to 1.5 times current capacity once operations are complete. Tariffs on Taiwanese goods are set at 15 percent...