US President Donald Trump has imposed a 15% tariff on products made from polysilicon and established minimum import prices for polysilicon and related products. The measures follow a national security investigation into foreign production of the material, which is widely used in semiconductors and solar panels.
Trump signed the proclamation on August 6 after accepting recommendations from Commerce Secretary Howard Lutnick. The measures will take effect 120 days after signing, placing their implementation in December.
The White House said the measures are intended to support US production as domestic manufacturers compete with overseas suppliers. Under the official proclamation, a minimum import price will apply to polysilicon and its derivatives, while downstream derivative products will face a 15% tariff.
US Cites Falling Domestic Production
Trump said foreign competition has weakened US polysilicon producers over several decades. The US share of global polysilicon production capacity fell from 50% in 2005 to less than 2% in 2024, while its share of global semiconductor wafer fabrication capacity dropped from 37% in 1990 to 10% in 2024.
China accounted for 93.2% of global polysilicon production in 2024, according to the US Trade Representative. Polysilicon is used in semiconductor manufacturing and solar products, including equipment supporting US defence programs and artificial intelligence systems.
The proclamation also authorises incentives for companies that build, expand or refurbish US facilities producing polysilicon, ingots, wafers and cells. Domestic producers including Hemlock Semiconductor and Wacker Chemie are expected to benefit from greater protection against lower-priced imports.
China Criticises US Restrictions
China has criticised Washington’s restrictions on polysilicon and other technology products. A Chinese Foreign Ministry spokesperson previously responded to reports about the planned measures, while the Chinese embassy in Washington said the latest action disrupts trade and accused the US of using state power against Chinese companies.
Beijing said it would take steps to protect Chinese companies and argued that protectionism would not make the US more competitive. Analysts quoted by Chinese state media outlet Global Times described the tariff as another US effort to restrict China’s involvement in critical technology supply chains.
The polysilicon measures follow other US restrictions covering Chinese technology products, including drones and humanoid robots. China has introduced its own measures, including tighter export controls on drones and a national security review covering imported printers and copiers.
The new tariff also comes as semiconductor production remains an important part of competition between the US and China over AI development. The two countries have imposed a series of tariffs on each other’s goods, although their broader tariff dispute has been on hold since May 2025.
Featured image credits: UCSD Jacobs School of Engineering – David Baillot
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