Shares of Penguin Solutions, Himax, Teradyne, Entegris, and IPG Photonics fell on July 24. The decline occurred during the morning session. This followed the implementation of new U.S. tariffs. The tariffs range from 10% to 12.5% and apply to 60 trading partners.
The U.S. based these new levies on an investigation into forced labor ban enforcement. The tariffs impact major economies integral to the semiconductor supply chain, including the European Union, Japan, and Taiwan.
The levies raise concerns for U.S. chipmakers regarding potential disruptions and increased costs. These chipmakers rely on imported equipment and overseas manufacturing and testing facilities.