The U.S. will impose new tariffs on Chinese semiconductor imports in June 2027, the Trump administration announced on Tuesday. Those tariffs will stay at zero for the next 18 months, giving American companies a grace period before costs rise. The decision to hold off on imposing the chip tariffs shows how the administration is trying to avoid exacerbating tensions with Beijing, after President Donald Trump and Chinese leader Xi Jinping reached a truce in the trade war earlier this year. After China threatened to restrict exports of rare earth metals, the U.S. moved to ease tensions. As part of the negotiations, the U.S. also postponed other tech export restrictions. The chip tariffs stem from a yearlong investigation known as Section 301 that concluded China has been pouring billions of dollars in state subsidies into chipmaking plants to dominate the global market for less advanced legacy chips and undercut foreign competitors. While U.S .companies like Nvidia dominate the market for cutting-edge AI chips, China is supplying huge volumes of older chips that power home appliances and cars. For American companies, the 18-month window means they have more time for renegotiating contracts and finding new chip suppliers. The administration is also conducting a broader national security probe that could hit semiconductors from all countries. #🇨🇳 ChinA.I. 🤖🧠🦾🤖 reuters.com/world/china/u..