Trump Imposes 15% Tariff on Polysilicon Imports

The executive action targets polysilicon and related products following a national security investigation into overseas production. US share of global production fell from 50% in 2005 to less than 2% in 2024. The measures, which include incentives to boost domestic manufacturing, are scheduled to take effect in December. Secretary of Commerce Howard Lutnick recommended the restrictions, which the outlet reported are designed to support American manufacturers facing stiff overseas competition.

Executive Order and Tariff Structure on Polysilicon Imports

The administration’s new policy introduces a dual-layer barrier for imported polysilicon: a blanket 15% tariff alongside mandated minimum import prices. Polysilicon serves as a foundational material for computer chips, solar panels, and military equipment. Global production dominance shifted heavily overseas over the past two decades, leaving China with a near monopoly on the material.

Domestic suppliers stand to gain ground under the new trade restrictions.

Beijing’s Reaction and Wider Semiconductor Supply Chain Pressures

The Chinese embassy in Washington issued a swift rebuke following the signing of the executive order. Officials in Beijing argued that Washington is weaponizing regulatory authority against international competitors.

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The Chinese embassy in Washington stated via BBC and MSN that the measure seriously disrupts trade between the two countries and that Beijing will act to protect its companies, adding that Washington is abusing state power to go after Chinese businesses and that protectionism will not make the US more competitive.

The polysilicon tariff arrives amid a broader trade struggle surrounding advanced technology supply chains. Computer chip manufacturing sits at the heart of the global race between Washington and Beijing to dominate artificial intelligence (AI). While a tit-for-tat tariff war between the two superpowers had remained on hold since May 2025, analysts cited by state media outlet Global Times view the latest duties as a direct escalation to restrict China from critical technology networks.

Those broader restrictions extend beyond chip materials. The new policy follows a string of earlier US limitations targeting imported drones and humanoid robots from China. In response, Beijing introduced its own countermeasures this week, implementing tighter export controls on drones and initiating a national security review into imported printers and copiers.