What is polysilicon and why is it important?

Polysilicon is a key raw material used in the production of semiconductor chips and solar panels, making it a strategically important material for the technology industry.

When do the new US tariffs on polysilicon take effect?

The 15 percent tariff takes effect 120 days after the signing of the proclamation, which occurred on August 6, 2026.

What is the main goal of these US measures?

The goal is to reduce dependence on China, which dominates polysilicon production, and to encourage the return of manufacturing to the US to ensure a domestic supply chain.

What are the minimum import prices (MIPs) that the US is introducing?

This is a program that sets a price floor for imported polysilicon, with the intention of protecting domestic manufacturers from unfair competition and dumping, especially from China.

Economy

US Imposes 15% Tariffs on Key Chip Material

E.K. · Prije 2h | 2 min

Trump administration targets Chinese dominance in polysilicon production, also announcing minimum import prices to protect domestic industry.

Summary

The US imposes a 15% tariff on polysilicon, a key material for chips and solar panels, with a 120-day delay.
Minimum import prices are also established to protect American manufacturers and reduce China's dominance.
Commerce Secretary Howard Lutnick stated that the goal is to bring the entire supply chain back to the US for national security reasons.
The measure results from an investigation launched a year ago under a 1962 law.

The United States is intensifying pressure on China in the strategically important high-tech sector. U.S. President Donald Trump signed a proclamation on Thursday, August 6, 2026, imposing a 15 percent tariff on imports of polysilicon and related products, a key raw material for the production of semiconductors and solar panels. The measure, which takes effect in 120 days, is accompanied by the establishment of minimum import prices (MIPs).

The goal is clear: to reduce dependence on China, which dominates global production of this material, and to encourage the return of manufacturing to American soil. "We are setting prices so that the Chinese can no longer undercut, and we are setting tariffs to say: build here," said Commerce Secretary Howard Lutnick.

Protecting National Security and the Supply Chain

The decision is based on an investigation launched about a year ago, invoking a 1962 law that allows the U.S. government to protect industrial sectors critical to national security. The minimum import price program is designed as a mechanism to create a "protected domestic market" where American manufacturers can compete without global market disruptions.

The presidential proclamation itself highlights the critical nature of this material: "Without a secure and reliable domestic supply of polysilicon, the United States cannot adequately produce semiconductors."

"A Signal to Build Here"

Addressing reporters at the White House, Secretary Lutnick emphasized that the goal is to bring the entire supply chain back to the U.S. "We need foundational products made here. We make products here, but we also need the supply chain here," he said, adding that the domestic industry in this sector is "too small."

Lutnick clarified that the tariffs serve as a clear signal for companies to relocate production. This move is part of the broader strategy of the Trump administration to strengthen the American manufacturing base in key technologies and reduce strategic vulnerability vis-à-vis Beijing.

Although the measure has no direct impact on the Croatian market, it is part of a global trend of reshaping supply chains and trade tensions between major powers, which in the long term could affect the prices and availability of technology, including in the European market of which Croatia is a part.