Trump imposes 15% tariff on polysilicon imports after national security review
US President Donald Trump has signed an executive order imposing a 15% tariff on imported products made from polysilicon, a material used in semiconductors and solar panels. The order also sets minimum import prices for polysilicon and related products. It follows a national security investigation into overseas production of the material and is aimed at supporting domestic manufacturers.
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Trump said in the order that he had accepted recommendations from Commerce Secretary Howard Lutnick to introduce the tariff and the minimum price measures. The administration also said it would offer incentives to boost domestic production. The move comes as the US faces growing competition from China in chip manufacturing, which has become a central point of friction between the two countries.
The Chinese embassy in Washington said the decision "seriously disrupts" trade between the two countries and accused Washington of "abusing state power" against Chinese businesses. It said protectionism would not make the US more competitive and said Beijing would act to protect its companies. The response underlines how quickly a trade measure on a specialist industrial input has become part of a wider dispute over technology supply chains.
Polysilicon is critical not only for solar panels but also for semiconductors, military equipment and other electronics. Trump said imports had helped reduce the US share of global polysilicon production from 50% in 2005 to less than 2% in 2024. He also said China holds a near monopoly on production, a claim that reflects the strategic importance of the material in both economic and security planning.
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The order is likely to benefit US firms Hemlock Semiconductor and Wacker Chemie, which are described as the main domestic producers of the material. It also fits a broader pattern of US restrictions on Chinese-linked technology products, including drones and humanoid robots. Analysts quoted by Chinese state media said the tariff marks another escalation in Washington's effort to limit China's role in critical technology supply chains.
What remains unclear is how quickly the tariff and minimum price rules will be implemented and how Chinese producers or buyers may respond. It is also not yet clear whether the measures will lead to higher costs for US manufacturers that rely on imported polysilicon. The next developments to watch are any retaliation from Beijing, further US trade actions and whether the incentives promised for domestic production lead to new investment.
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