On Thursday, August 7th, 2026, the Trump administration announced it will impose a 15% tariff and a minimum price on imports of polysilicon, a critical raw material used in solar panels and semiconductor chips. This move aims to push back against China, whose companies control 96% of the global polysilicon production.

The solar industry is the primary consumer of polysilicon, with semiconductor chips accounting for 2.4% of annual consumption in 2025, according to the Semiconductor Industry Association. The tariffs reflect ongoing trade tensions and efforts by the US to reduce reliance on Chinese supply chains.

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