ON Semiconductor Surges 6.18% as $670M Volume Ranks 157th Amid Trump Tariff Uncertainty

On Aug. 12, 2025, ON Semiconductor (ON) surged 6.18% with a trading volume of $670 million, a 68.62% increase from the prior day, ranking 157th in market activity. The rally aligns with broader semiconductor industry volatility amid U.S. President Donald Trump’s proposed 100% tariffs on imported chips, a policy aimed at reshaping global supply chains and boosting domestic production. The measure, set to exclude manufacturers committing to U.S. operations, has intensified scrutiny on firms reliant on overseas semiconductor hubs, particularly in Asia.

Trump’s tariffs, part of escalating “chip wars” between the U.S. and China, target critical components used in AI, data centers, and industrial systems. While Asian manufacturers like TSMC and Samsung dominate global supply, the White House has signaled exemptions for companies investing in U.S. facilities. This creates a dual dynamic: immediate cost pressures for import-dependent firms and long-term incentives for reshoring. For ON, a key player in power and sensor solutions, the policy could alter production strategies as clients adjust to potential supply constraints and higher input costs.

The semiconductor sector’s strategic importance—dubbed “the steel of the modern age” by former Intel CEO Craig Barrett—has amplified market sensitivity to regulatory shifts. Trump’s administration framed the tariffs as a national security measure, echoing concerns over reliance on foreign technology. However, scaling domestic production faces hurdles, including workforce shortages and complex supply networks. Even with subsidies like the Chips Act, reshoring remains a multi-year process, leaving short-term uncertainty for manufacturers navigating tariffs and geopolitical tensions.

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