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Monday Morning eBriefing

USTR Responds to China’s Trade Policies for Semiconductor Industry

Dec 26, 2025 | Chris Gillis

The Office of the U.S. Trade Representative (USTR) on Dec. 23 issued a notice in which it has determined China’s acts, policies, and practices are actionable under Section 301 of the Trade Act of 1974 and an appropriate response includes taking tariff action now on semiconductors from China, with an initial tariff level of 0%, increasing in 18 months on June 23, 2027, to a rate to be announced not fewer than 30 days prior to that date.

These new Section 301 tariffs would be additional to the existing 50% Section 301 tariff on semiconductors from China imposed pursuant to the Section 301 investigation related to forced technology transfer. USTR said it will continue to monitor the efficacy of this action, the progress made toward resolution of this matter, and the need for any additional action.

This action applies to the following 8-digit subheadings:

Tariff Code and HS Description

28046100 – Silicon containing by weight not less than 99.99 percent of silicon

38180000 – Chemical elements doped for use in electronics, in the form of discs,

wafers etc., chemical compounds doped for electronic use

85411000 – Diodes, other than photosensitive or light-emitting diodes

85412100 – Transistors, other than photosensitive transistors, with a dissipation rating

of less than 1 W

85412900 – Transistors, other than photosensitive transistors, with a dissipation rating

of 1 W or more

85413000 – Thyristors, diacs and triacs, other than photosensitive devices

85414910 – Other photosensitive semiconductor diodes, other than light-emitting

85414970 – Photosensitive transistors

85414980 – Photosensitive semiconductor devices nesoi, optical coupled isolators

85414995 – Other photosensitive semiconductor devices, other than diodes or

transistors, nesoi

85415100 – Other semiconductor-based transducers, other than photosensitive

transducers

85415900 – Other semiconductor devices, other than semiconductor-based

transducers, other than photosensitive devices, nesoi

85419000 – Parts of diodes, transistors, similar semiconductor devices, photosensitive

semiconductor devices, LED's and mounted piezoelectric crystals

85423100 – Electronic integrated circuits: processors and controllers

85423200 – Electronic integrated circuits: memories

85423300 – Electronic integrated circuits: amplifiers

85423900 – Electronic integrated circuits: other

85429000 – Parts of electronic integrated circuits and microassemblies

To implement the USTR’s determination, subchapter III of chapter 99 of the HTSUS is modified by the Annex of this notice, effective Dec. 23, 2025.

Products of China that are provided for in HTSUS heading 9903.91.05 and described in subdivision (f)(ii) of note 31 to subchapter III of chapter 99 of the HTSUS, as established by the Annex of this notice, shall continue to be subject to antidumping, countervailing, or other duties, fees, exactions and charges that apply to such products. Any product covered by the Annex to this notice, except any product that is eligible for admission under ‘domestic status’ as defined in 19 CFR 146.43, which is subject to the additional duty imposed by this determination, and is admitted into a U.S. foreign trade zone on or after the effective date of the additional duties only may be admitted as ‘privileged foreign status’ as defined in 19 CFR 146.41. Such products will be subject upon entry for consumption to any ad valorem rates of duty or quantitative limitations related to the classification under the applicable HTSUS subheading