President Trump signed an order to protect the nation’s polysilicon industry from China. The material is used in the semiconductor and solar-power supply chains. According to the Center for Strategic and International Studies (CSIS), China dominates the industry, producing 93.2% of the world’s polysilicon in 20254.
According to the action, the Trump administration found that “polysilicon is essential to the national security and economy of the United States,” it says, adding, “Without a secure and reliable domestic supply of polysilicon, the United States cannot sufficiently produce semiconductors.”
Between 2005 and 2024, the nation’s share of global polysilicon production capacity has dropped from 50% to less than 2%, the order notes. It goes on to grieve that the United States is “virtually entirely dependent on imports of solar ingots, wafers, and cells.”
“In my judgment, based on current circumstances as well as the future needs of the United States, the plan of action detailed in this proclamation is necessary and appropriate to address the threatened impairment of the national security posed by imports of polysilicon and its derivative products,” the proclamation declares. “The plan of action in this proclamation will, among other things, help ensure the commercial viability of United States production of polysilicon and its derivatives that is necessary to meet United States economic and national security requirements.”
Based on the recommendations from Commerce Secretary Howard Lutnick, Trump’s proclamation calls for a 15% ad valorem tariff on products made from polysilicon. The U.S. is also directed to develop an onshoring program to “encourage companies to build new United States polysilicon, ingot, wafer, and cell production facilities.”
