Trump slaps 15% tariff on Chinese polysilicon to shield U.S. chip makers

Donald Trump has imposed a 15% tariff on imported polysilicon products, a key material used in microchip and solar panel manufacturing, citing national security concerns and the need to protect U.S. domestic supply chains from Chinese competition.

The tariff takes effect on December 4, 2026, and establishes minimum import prices for polysilicon at multiple stages of production: $21 per kilogram for raw polysilicon, with lower price floors set for ingots, wafers, solar cells and modules, down to $0.38 per watt for solar modules.

Polysilicon is primarily produced by China. Trump justified the measure under Section 232 trade guidelines, which allow tariffs on goods deemed critical to national security. In a statement, Trump said the tariff plan "will help ensure the commercial viability of United States production of polysilicon and its derivatives that is necessary to meet United States economic and national security requirements."

The administration framed the move as essential to help U.S. chip and solar panel makers compete with Beijing in artificial intelligence and energy sectors. However, U.S.-based producers of polysilicon and related materials—including Qcells, Corning, ES Foundry and Suniva—are not currently scaled up to fully replace imports, meaning the tariff will likely increase costs for domestic manufacturers reliant on imported materials.

Tim Pawlenty, head of the Solar Energy Industries Association, warned that the tariffs and price floors on solar materials will create new challenges for American manufacturers and raise energy costs for families and businesses.