The semiconductors are the most commercialized fourth worldwide and affect a large amount of consumer goods. The semiconductor supply chain is complex, with different economies dominating different parts. The US administration is carrying out research on semiconductor supply chains; threatening tariffs. The representatives of the American industry prefer national incentives instead of tariffs, Standard Chartered economists report, Madhur Jha and Ethan Lester.
The impact of tariffs could be of great reach
“The US reciprocal tariffs of April 2 excluded semiconductors, since these are subject to separate investigations that could result in 25% tariff Commercial.
“The US dominates about half of the semiconductor supply chain. However, the supply chain is complex, with several critical points and a small number of economies dominating different parts of it. Although China is the focus of more than one investigation on semiconductors, other economies such as Mexico, Taiwan, Japan and Korea are deeply integrated into the semiconductor semicondu vulnerable to higher tariffs. “
“The representatives of the American industry have indicated a preference for more national incentives instead of a 25% general tariff given the complexity of the supply chain and the cascade impact on wider industrial sectors. At the global level, the impact of tariffs on semiconductors will probably be of great reach given the increasingly important role of semiconductors in a wide range of sectors. He suggests that for the US, a 25% tariff on semiconductors could reduce GDP growth by 0.2 percentage points in the first year. “
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
