US Pauses New China Chip Tariffs Amid 'Aggressive' Push Probe; Future Hike Looms

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Firstpost•24-12-2025, 17:48
US Pauses New China Chip Tariffs Amid 'Aggressive' Push Probe; Future Hike Looms
- •US delays new tariffs on Chinese semiconductors until at least mid-2027, pausing immediate escalation despite an 'aggressive' push probe.
- •USTR probe found China's semiconductor policies constitute unfair trade practices disadvantaging US companies.
- •Current additional tariff rate on targeted legacy chips remains 0% for 18 months; future hike scheduled for June 23, 2027.
- •Delay is due to economic and diplomatic calculations, aiming to maintain leverage without disrupting ongoing US-China trade negotiations.
- •China criticized the US stance as "indiscriminate use of tariffs," vowing to protect its interests if the US continues its current path.
Why It Matters: US delays new China chip tariffs to manage trade tensions, despite finding Beijing's practices unfair.
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