China's new chip origin rule spares U.S. designers like Nvidia, AMD, and Qualcomm from 125% tariffs by exempting Taiwan-fabricated chips, while penalizing U.S.-based manufacturers like Intel, GlobalFoundries, and Texas Instruments, reshaping the global semiconductor supply chain.
Shares of analog chip manufacturer Texas Instruments (NASDAQ:TXN)
fell 8.3% in the morning session after China Semiconductor Industry Association issued an emergency directive detailing new methods for verifying the origin of imported chips. According to reports, the location of the wafer fabrication plant would define the origin of imports when tariffs are applied. This meant that companies with manufacturing facilities in the US might be severely affected by the escalating US-China trade tension.
Let's take a look at the S&P500 stocks that are experiencing notable price gaps in today's session on Friday. Discover the gap up and gap down stocks in the S&P500 index.
Hitting a new 52-week low can be a pivotal moment for any stock.
These floors often mark either the beginning of a turnaround story or confirmation that a company faces serious headwinds.
A Reuters report cited a recent notice posted by the CSIA on its WeChat account in which the association noted that the country of origin for semiconductor chips would be the location of the wafer fabrication facility.
