Trump’s Chip Deal Sparks New Tactic in Trade Policy

US President Donald Trump has struck a deal with two major American producers of computer chips, allowing him to take a cut of their revenue in exchange for permission to export products to China. This move marks a significant shift in his transactional trade policy.

In the agreement, chip makers will give up a portion of their earnings if they want to sell their products in China. The deal aims to promote American exports and boost economic growth. However, critics argue that it may lead to job losses and decreased competition in the global market.

The move has been seen as a new tactic by Trump’s administration, which is looking to increase its negotiating power and influence in international trade negotiations. The agreement is expected to be closely monitored by lawmakers and industry experts, who will assess its impact on the economy and national security.

Source: https://www.washingtonpost.com/technology/2025/08/12/trump-chip-deal-nvidia-amd