Intel, however, fell 1.4 per cent after Trump called for the immediate resignation of Intel’s new CEO, Lip-Bu Tan.
European chipmakers also joined the rally, with ASML and ASMI up more than 3 per cent each. BE Semiconductor Industries climbed 4.7 per cent.
JP Morgan analysts expect the proposed 100 per cent semiconductor tariff would not be stacked on top of the 15 per cent baseline tariff agreed between the European Union and the US last week.
According to EU officials, the framework trade deal will have zero-for-zero tariffs on semiconductor-making equipment.
Germany’s Infineon said it could not speculate on possible semiconductor tariffs, as no details have been disclosed yet. Its shares were up 0.9 per cent.
Trump’s latest on semiconductor tariffs seemingly rules out Taiwanese chip contract manufacturer TSMC, which makes chips for most US companies, including Nvidia, as it has factories in the US.
“The market remains keen to buy TSMC on dips. Investors also believe they need to remain positioned in AI – with or without tariffs,” UBS analysts said.
TSMC shares closed almost 5 per cent higher to hit all-time highs, while Samsung Electronics and SK Hynix climbed 2.5 per cent and 1.4 per cent, respectively.
South Korea’s Samsung and SK Hynix will also not be subjected to 100 per cent tariffs on chips, the country’s top trade envoy said.
Samsung has invested in two chip fabrication plants in Austin and Taylor, Texas, while SK Hynix has announced plans to build an advanced chip packaging plant and research and development facility for artificial intelligence products in Indiana.
