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President Donald Trump’s January 14, 2026 proclamation set a 25% tariff on a narrowly defined class of imported advanced computing chips, with the duty applying to covered entries starting January 15. The White House named NVIDIA H200 and AMD MI325X as examples, but the tariff is not a blanket charge on all chips from either company. Coverage depends on tariff classifications and technical thresholds, and several specified U.S. end uses are exempt.
What the tariff does—and when it took effect
The White House announced the measure on January 14, 2026, under Section 232 of the Trade Expansion Act of 1962. The proclamation sets a 25% ad valorem duty on covered products entered for consumption, or withdrawn from a warehouse for consumption, at or after 12:01 a.m. Eastern Standard Time on January 15, 2026. The duty is additional to other applicable duties except where the proclamation says otherwise. See the White House fact sheet and Proclamation 11002.
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Which chips are covered?
The administration cited NVIDIA H200 and AMD MI325X as examples. Those examples do not make every NVIDIA or AMD product subject to the tariff. The proclamation’s annex defines the covered semiconductor articles by specified Harmonized Tariff Schedule of the United States (HTSUS) classifications—including provisions 8471.50, 8471.80, and 8473.30—and technical performance parameters involving total processing performance and total DRAM bandwidth. A product must meet the applicable classification and technical tests to fall within the defined scope. The proclamation annex supplies the technical details.
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- Not a tariff on every AI chip: A chip’s AI use alone does not establish coverage.
- Not a tariff on every product from the named companies: The legal definition, not the manufacturer’s name, determines whether an article is covered.
- Not a blanket tariff on servers or semiconductor imports: The proclamation’s immediate action is a narrow first phase; it says broader tariffs could be considered after trade negotiations.
Which U.S. uses are exempt?
The proclamation says the 25% rate does not apply to covered products imported for the following uses:
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- U.S. data centers.
- Repairs or replacements performed in the United States.
- Research and development conducted in the United States involving the chips.
- Use by startups in the United States.
- Non-data-center consumer applications in the United States.
- Non-data-center civil industrial applications in the United States.
- U.S. public-sector applications.
- Other uses the Secretary determines support the U.S. technology supply chain or domestic manufacturing capacity for semiconductor derivatives.
The annex provides more detailed classifications and definitions for these categories. For example, it defines a U.S. data center for this purpose as a facility requiring more than 100 megawatts of new load dedicated to AI inference, training, simulation, or synthetic data generation. It also defines research and development and incorporates the statutory definition of “emerging growth company” for a startup. An AI-related business or facility does not automatically qualify merely because it uses these chips; the applicable category and definition matter.
Why did the administration impose the tariff?
The proclamation invokes Section 232 and characterizes semiconductor imports and supply-chain conditions as a national-security concern. It says the measure is intended to encourage domestic production, reduce reliance on foreign sources, and support U.S. high-tech infrastructure and research. Those are the administration’s stated rationale and aims, not independently established conclusions in the proclamation.
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As support, the proclamation reproduces the Secretary of Commerce’s findings that the United States consumes roughly one quarter of the world’s semiconductors and fully manufactures approximately 10% of the chips it requires. It does not identify a separate underlying statistical publication or data year for those figures. The proclamation’s 2026 date is not evidence that the underlying measurements were made in 2026.
Has the tariff changed since the proclamation?
Proclamation 11002 directed the Secretary of Commerce to provide the President with an update on the market for semiconductors used in U.S. data centers by July 1, 2026, to inform whether modifying the tariff might be appropriate. The existence or outcome of that update, and any subsequent change to this specific tariff, cannot be established from the proclamation itself. Check the latest HTSUS schedule, Federal Register notices, and U.S. Customs and Border Protection guidance before relying on the January terms as the current rules. An export-control licensing requirement for advanced chips is a separate policy instrument from an import tariff.
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