US President Donald Trump has announced that his administration will impose tariffs on semiconductor imports from companies that do not relocate production to the United States.

Speaking ahead of a dinner with technology executives on Thursday, Mr Trump told reporters that firms moving manufacturing into the country would be exempt. “We will be putting tariffs on companies that aren’t coming in,” he said, adding the duties would be “fairly substantial” but not excessive.

The announcement comes as the White House presses foreign technology firms to expand investment in US production. Apple, which recently pledged to increase its domestic investment to $600bn over four years, was cited by Mr Trump as being “in pretty good shape” under the proposed measures. Apple CEO Tim Cook was among those in attendance at the meeting.

Mr Trump has made tariffs a central feature of his trade policy, using them to exert leverage in negotiations and encourage domestic production. He previously indicated tariffs could reach around 100% on imported semiconductors, though exemptions would apply to companies manufacturing in or committed to the US.

Major chipmakers, including Taiwan’s TSMC, South Korea’s Samsung Electronics, and SK Hynix, have already announced new facilities in the US.

Since returning to office in January, Mr Trump’s tariff threats have unsettled markets and raised concerns over global supply chains.