Washington: The United States is set to conclude its investigations into the national security implications of semiconductor and pharmaceutical imports by the end of this month, as announced by Commerce Secretary Howard Lutnick. This development raises the potential for new tariff announcements, which are anticipated to be disclosed soon.
According to Yonhap News Agency, Secretary Lutnick discussed the upcoming completion of these probes in an interview with CNBC. This follows President Donald Trump's earlier remarks during a Cabinet meeting, where he revealed plans to impose tariffs on pharmaceuticals, semiconductors, and other significant imports. The President specifically mentioned a proposal to implement 50 percent tariffs on copper imports.
Lutnick clarified that the investigations, initiated under Section 232 of the Trade Expansion Act of 1962, are aimed at assessing the impact of these imports on national security. This law grants the President the authority to adjust imports if they are deemed to compromise national security.
South Korean technology companies, including Samsung Electronics Co. and SK hynix Inc., are closely monitoring these investigations, as the outcomes could influence tariff rates on their products. Lutnick confirmed that the copper import investigation has been finalized, with the findings already submitted to the President. Trump is expected to make an announcement regarding copper tariffs on Truth Social later today and sign a related proclamation.
The copper tariff is projected to be implemented by the end of the month or by August 1. The Commerce Secretary has been responsible for conducting the national security probes and providing findings and recommendations to the President. Within 90 days of receiving the report, the President must decide whether to accept the findings and take the necessary actions.
During the Cabinet meeting, President Trump also indicated that an announcement regarding pharmaceuticals will be made soon. He suggested that pharmaceutical companies will be given a period of about one to one and a half years to relocate their production to the U.S. if they wish to avoid facing tariffs. The proposed tariff rate on pharmaceuticals could be as high as 200 percent, allowing time for firms to adjust their operations accordingly.