The Trump administration is considering further tariffs on semiconductors.

Such tariffs may even be expanded, Politico reports, to include the goods that use chips - including data center servers. Tariffs are paid by the importer, not the exporter.

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The tariff discussions are still in an early stage, and could change in the coming weeks or months. As it stands, the administration is considering a phase-in period for the new tariffs, while Commerce Secretary Howard Lutnick is in favor of using it to force investment in US chip manufacturing. Those that invest would escape the tariffs.

“Reshoring semiconductor manufacturing is a top priority for President Trump, whose policies have already secured hundreds of billions of dollars of investments in this key sector,” White House spokesperson Kush Desai said of the report.