Intel Corporation (NASDAQ: INTC) shares are trading higher on Friday following reports suggesting President Donald Trump wants to curb dependence on foreign-made semiconductors and expand domestic manufacturing.
What To Know: According to reports, the U.S. is planning to push chipmakers to match the volume of semiconductors their customers currently import from overseas providers through domestic production, or pay a tariff.
Companies that fail to maintain a one-to-one domestic-to-import ratio over time would face tariffs, the Wall Street Journal reported. Firms pledging to build new U.S. plants would receive credit for that pledged volume, allowing imports without tariffs until the facility is complete, with initial relief to help ramp capacity.
Commerce Secretary Howard Lutnick raised the proposal with semiconductor executives, saying it may be necessary for economic security. A White House spokesperson said America cannot be reliant on foreign imports for products essential to national and economic security, while noting that policymaking details remain speculative until officially announced.
Trump's push to reshore chipmaking has already spurred companies to invest heavily in U.S. manufacturing.
Intel may be trading higher Friday as investors expect the company to benefit from policies favoring domestic semiconductor production. With its existing U.S. manufacturing base and ongoing expansion plans, Intel is positioned to capture incentives and exemptions from tariffs, strengthening its competitive edge against rivals more reliant on overseas supply.
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INTC Price Action: At the time of writing, Intel shares are trading 2.90% higher at $34.98, according to data from Benzinga Pro.
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