US chipmakers that outsource manufacturing to other countries will be exempt from China's retaliatory tariffs on American imports, Reuters reported Friday, citing a notice from the state-backed China Semiconductor Industry Association posted to the Weibo social media platform.
Under the rules, Qualcomm (QCOM) and AMD (AMD), which outsource manufacturing to Taiwan Semiconductor Manufacturing (TSM), Chinese customs will classify the chips' place of origin as Taiwan, Reuters reported.
In contrast, chips made by Intel (INTC), Texas Instruments (TXN), Analog Devices (ADI) and ON Semiconductor (ON), which own and operate US-based fabs, may be classified as US origin and subject to tariffs of 84% or higher, the report said.
Qualcomm, AMD, Intel, Analog Devices, and ON Semiconductor did not immediately reply to MT Newswires' requests for comment.
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