On January 14, 2026, the President of the United States issued two proclamations addressing imports of advanced computing chips and processed critical minerals. Both actions stem from reports by the Secretary of Commerce, which concluded that the current import quantities and circumstances of these products pose risks to the national security of the United States. The proclamations include the immediate imposition of tariffs on certain advanced computing chips and directives for trade negotiations concerning critical minerals.
Advanced Computing Chips and Derivatives
The presidential proclamation regarding semiconductors, semiconductor manufacturing equipment, and their derivative products follows a December 22, 2025, report from the Secretary of Commerce. The report identified several factors contributing to national security concerns related to these products:
- Domestic Capacity: The United States has insufficient domestic capacity to produce semiconductors, certain manufacturing equipment (such as advanced lithography and etching tools), and their derivatives to meet domestic demand, leading to reliance on foreign sources.
- Strategic Importance: Semiconductors are identified as essential for U.S. economic, industrial, and military strength, underpinning modern defense systems, communication, electronic warfare, and guidance technologies. They are also vital for all 16 critical infrastructure sectors.
- Supply Chain Vulnerability: The U.S. consumes approximately 25% of the world's semiconductors but fully manufactures about 10% of its needs, a situation that the report described as creating economic and national security risks due to foreign supply chain dependence.
- AI Implications: The importation of AI-enabling semiconductors in current quantities was cited as a national security concern if these imports do not contribute to the buildout of the U.S. technology supply chain.
Actions and Plan:
Based on these findings, the President adopted a two-phase plan:
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Phase One (Immediate Actions):
- The Secretary of Commerce and the U.S. Trade Representative (USTR) have been directed to jointly pursue or continue trade negotiations with foreign jurisdictions to strengthen the U.S. semiconductor industry.
- An immediate 25% ad valorem duty rate will be imposed on imports of certain advanced computing chips and their derivative products (referred to as "Covered Products"), effective January 15, 2026.
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Phase Two (Future Actions):
- Following the conclusion or status update of trade negotiations, the President may consider imposing broader, significant tariffs on semiconductors and related equipment. These potential measures could be accompanied by a tariff offset program designed to incentivize domestic manufacturing.
Tariff Details and Exemptions:
The 25% ad valorem duty will apply to Covered Products unless their importation is determined to contribute to strengthening the United States technology supply chain or domestic manufacturing capacity for semiconductor derivatives. Specific exemptions include imports for:
- U.S. data centers
- Repairs or replacements performed in the U.S.
- Research and development in the U.S.
- U.S. startups
- Non-data center consumer applications in the U.S.
- Non-data center civil industrial applications in the U.S.
- U.S. public sector applications
Implementation and Oversight:
The Secretary of Commerce and USTR are required to provide an update to the President on negotiation progress within 90 days. Additionally, the Secretary of Commerce will monitor imports and provide an update on the data center semiconductor market by July 1, 2026. The tariffs established by this proclamation supersede any conflicting duties from other Section 232 proclamations or specific Executive Orders (14257, 14193, 14194). No drawback will be available for duties imposed under this proclamation. The Secretary of Commerce, USTR, and Secretary of Homeland Security are authorized to take all appropriate actions for implementation.
Processed Critical Minerals and Derivatives
A separate presidential proclamation, also issued on January 14, 2026, addresses imports of processed critical minerals and their derivative products (PCMDPs). This action follows an October 24, 2025, report from the Secretary of Commerce, which concluded that the current import quantities and circumstances for PCMDPs threaten U.S. national security.
Key Findings:
The Commerce Department's investigation highlighted several vulnerabilities:
- Broad Application: PCMDPs are described as essential for nearly all industries, including advanced weapons systems, energy infrastructure, and consumer goods. Specific examples cited include rare earth permanent magnets in electronics, lithium in the chemical sector, and cobalt in the energy sector.
- Defense and Infrastructure Reliance: These minerals are considered important for high-performance military equipment and are relied upon by all 16 critical infrastructure sectors, as identified by National Security Memorandum 22 (April 30, 2024).
- Foreign Reliance and Processing: As of 2024, the U.S. is 100% net-import reliant for 12 critical minerals and over 50% reliant for another 29. Despite domestic mining capacity for some minerals (e.g., rare earths), the U.S. reportedly lacks sufficient domestic processing capabilities, necessitating re-importation after foreign refining.
- Supply Chain Risks: The report noted that limited domestic critical minerals industry capacity and foreign dominance contribute to supply chain risks, with many defense supply chains relying on single-country suppliers for key minerals.
- Market Conditions and Production Trends: Price instability in critical mineral markets was identified as hindering private investment and reducing capacity. The U.S. has experienced a decline in critical mineral production, with some facilities closing or offshoring operations.
- Increasing Demand: U.S. demand for critical minerals is increasing due to factors such as military developments and growth in high-tech industries, including artificial intelligence, data centers, and new energy technologies.
The report concluded that these circumstances contribute to a national security vulnerability, potentially exposing the U.S. to disruptions, economic instability, and strategic weaknesses.
Presidential Directives:
Concurring with the Secretary's findings, the President has directed the Secretary of Commerce and the U.S. Trade Representative to jointly pursue negotiations with trading partners. The objective of these negotiations is to adjust PCMDP imports to address the identified national security threat.
- Negotiations are to consider measures such as price floors for critical mineral trade and other trade-restricting actions.
- An update on the negotiation status is required within 180 days of the proclamation date.
- The President stated that if satisfactory agreements are not reached in a timely manner, alternative remedies, including minimum import prices or other import adjustment measures, may be considered in the future.
Implementation:
Relevant executive branch officials are authorized to take appropriate actions to implement this proclamation, including issuing regulations. The Secretary of Commerce will continue to monitor PCMDP imports and review their status relative to national security, informing the President of any need for further action.