NVIDIA announced this week that it has started Production of chips Supercomputers will be built in Texas in the factory in Arizona, bringing the manufacturing of keys Handle hardware In the back Generated AI Go to the United States.
This news is tariff President Donald Trump announced anxiety about the cost of imported technology and products produced historically has stimulated foreign production. Most tariffs announced this month have been put on hold Major stock markets felland the Trump administration Some electronic devices are exemptedincluding cell phones and computers, certain tariffs on weekends.
Read more: Buy or wait guide: How the tariffs will change the technical price and what to do now
Semiconductors may not avoid tariffs for a long time. trump card, release On Sunday’s social media website Truth Social, his administration will “look at” the semiconductor and electronic supply chains, which suggests future tariff changes.
The move begins with the president’s latest trade protection measures, said Anne Hoecker, head of global technology practice at consulting firm Bain & Company.
“Tariffs are moving, they have a big impact, but there is a long-term trend in the semiconductor supply chain here that has passed multiple management,” Hoecker said.
Watch the following: Watch NVIDIA’s GTC 2025 Keynote: All Highlights in 16 Minutes
What Nvidia’s move means to you
Although most consumers do not buy chips to train and run their own AI generation models, the price of hardware can affect the ultimate cost of the services we consume. As AI is getting wedged more like Smartphone And software such as Office tools, the increased cost of making these products and services can have a significant ripple effect.
Hoecker said that even with the emergence of some semiconductor manufacturers, the price of tariffs could occur. Just because a computer component is made in the United States does not mean that the material brought by the equipment used to produce it or other components around it is protected from tariffs. Some of these increased costs may pass to consumers.
Building more diversified supply chains for chips may result in higher costs, but it reduces the risks to the industry, which is concentrated in Taiwan. “In the long run, I do think that consumers benefit from a resilient electronic supply chain,” Hoecker said. “There is a big risk to have too many very important components in one location.”
U.S. production of chips and supercomputers will intensify
NVIDIA said its Blackwell chips were produced in TSMC chip plants in Phoenix. Supercomputers designed for use AI-centric data centerwill be built in Houston (with Foxconn) and Dallas (with Wistron). NVIDIA expects the manufacturing industry of supercomputer factories to upgrade around next year.
“For the first time, the world’s AI infrastructure engines are built in the United States,” NVIDIA CEO Jensen Huang said in a statement. “Adding American manufacturing helps us better meet the incredible and growing demand for AI chips and supercomputers, strengthening our supply chains and increasing our resilience.”
NVIDIA is not the only company this week about U.S. chip production news: AMD also says it will Start making the processor Arizona plant in TSMC.
Efforts to bring semiconductor manufacturing to the U.S. have increased in recent years since Joe Biden’s signing Chip method In 2022, the law provided chipmakers with $53 billion to transfer production to states.
The move to bring chip manufacturing to the United States is long-term, partly because of the years of expense and substantial capital required to build a manufacturing facility or “factory.” Hoecker said the pace of change in the hardware industry is glacial compared to the rapid development of generative AI. “This is not a speedboat,” she said. “It takes time.”
