Chip manufacturers Samsung and SK Hynix will be exempted from 100% US tariffs due to local investments and MFN trade status.
Korea ( Rep.) semiconductor giants Samsung Electronics and SK Hynix are set to avoid the 100% tariffs on chip imports announced by US President Donald Trump.
The tariffs target semiconductor products imported from companies that do not have manufacturing operations in the US. However, companies that have committed to or are in the process of building US-based production facilities are exempt from these levies.
Korea (Rep.) secured most-favored-nation (MFN) status in the latest trade negotiations with the US, ensuring that tariffs on its semiconductor exports will not exceed those applied to other MFN countries.
Yeo Han-koo, the trade envoy of Korea (Rep.), confirmed that the tariff rate for his country’s chip manufacturers is expected to be around 15%. Samsung and SK Hynix have invested heavily in US manufacturing, including new chip fabrication plants and research centers in Texas and Indiana.
