Thursday, December 1st 2022

US Might Reimpose GPU Import Tariffs in the New Year

Currently, the US has an exclusion in place when it comes to import tariffs relating to graphics cards and GPUs imported from China, but the exclusion is set to expire on the 31st of December this year. So far, the US government has been quiet on whether or not the import tariff will be reinstated or not. If the tariff was to be reinstated, US consumers are looking at a 25 percent import duty on graphics cards, starting on the 1st of January, 2023.

There's no easy way to circumvent the tariff either, as it includes items like "printed circuit assemblies, constituting unfinished logic boards," according to Tom's Hardware. Not all graphics cards are made in China though, but the majority of graphics cards are today. It's possible that NVIDIA's move of its logistics center from Hong Kong to Taiwan could have some relation to this as well, as NVIDIA would then be shipping products out of Taiwan, rather than China, depending on how the US Customs classifies Hong Kong these days. We should know what happens in a month's time, but a 25 percent import duty on graphics cards will likely kill most sales, as most people already find them overpriced. This would of course affect AMD and NVIDIA, as well as their partners in the same way, unless they make their graphics cards outside of China.
Source: Tom's Hardware
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108 Comments on US Might Reimpose GPU Import Tariffs in the New Year

#76
Wirko
Is a graphics card actually made in China if the most valuable parts of it, which is the GPU and RAM dies and probably their packages too, are made in TW/SK/US?

Countries have rules in their trade policies to help determine where a product is actually made. The origin of components, and estimates of their prices, is taken into account. So the final assembly and the origin of passive components may not matter much.

An example from the world of cars.
fortune.com/2019/06/26/american-foreign-car-manufacturing/
The latest version of Cars.com’s annual list of the most “American” cars assembled in the U.S. came out on Tuesday. But you may be surprised how little it takes to be considered really American: just 55% of the total value of the car parts is enough to qualify. And, because the data comes from reports mandated by the American Automobile Labeling Act of 1992, there’s additional hidden confusion. The legislation lumps together parts and content from the U.S. and Canada, so the strictly U.S. portion could be less.
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#77
stimpy88
nGreedia remembered to lobby the greedy corrupt government again...
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#78
Vayra86
GarrusPeople always say things like "we can't make it" but nobody is suggesting traditional old school tariffs on every country. The tariffs are on China, and China alone. We don't have to make any of those products. We just don't want our hi tech industries to be in China.


Again, US consumers can buy the products from other countries. Just not China. The damage to the US consumer is very small. The tariffs are not to make the US manufacture everything, but to reduce the purchase of goods from a dicatorship, and not a friend. The largest and most dangerous one in the world. Would you have advocated for the US to buy everything from the Soviet Union? Of course not.

A lot of people are so confused on this simple point. They are tariffs against Chinese imports. Not against imports generally. Germany could have bought energy from any country, just not from Russia etc.
You're confused I think.

www.trade.gov/country-commercial-guides/eu-import-tariffs
wits.worldbank.org/CountryProfile/en/Country/USA/Year/2019/TradeFlow/Import/Partner/by-country

'Muh tariffs' is nice popular media but these protectionist measures are everywhere all the time, its nothing new or special, the fact two leaders propped it up as their battle to fight and win something on, is also just politics. In brief; Trump needed his 'war', because every potus loves having one to remain in power. Under Biden we have Ukraine, so now these are just tariffs.

A more positive definition is 'trade agreement' ;)
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#79
Dristun
Ha! I think Intel already has it covered, just like Nvidia, A770 curiously has "Made in Malaysia" on the box.
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#80
ThrashZone
TheLostSwedeIt's not a new tax, it's the same tariff they imposted against China when Trump was in charge.
However, an exclusion for some products, like GPUs was made and that exclusion is now about to expire.
VAT = Value Added Tax, has nothing to do with importing goods. It's something individual countries add to certain types of goods.
Hi,
EU buyers pay that so do people effected by this op's topic
If you think the eu definition of a import tax makes it different even though the result is the same well we will probably only agree to disagree here.

Bottom line buyers pay in both instances.

Only real point in adding a import tax is to slow sells down which will hurt targeted companies bottom line or what they are intended to do
But the issue mainly is, a sucker is born every second that will pay high prices, more dollars than sense :laugh:
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#81
maxfly
Yup, lets have a conniption over something that will never happen. Biden may be an old grey codger but he's no fool. This has about as much a chance of being re-implemented as the people in Ukraine dropping their weapons and giving in to Putin.

Yeah, life's a bitch until you remember there's a madman and his lackeys brainstorming new and creative ways to murder civilians. While we sit in our warm cozy homes getting outraged about phantom GPU tariffs or the unfairness of taxes our government has cowed us into believing we can't change. FFS

End of rant.
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#82
sepheronx
maxflyYup, lets have a conniption over something that will never happen. Biden may be an old grey codger but he's no fool. This has about as much a chance of being re-implemented as the people in Ukraine dropping their weapons and giving in to Putin.

Yeah, life's a bitch until you remember there's a madman and his lackeys brainstorming new and creative ways to murder civilians. While we sit in our warm cozy homes getting outraged about phantom GPU tariffs or the unfairness of taxes our government has cowed us into believing we can't change. FFS

End of rant.
I hope you aren't American or western european or you would come off as a massive hypocrite.

But humility isn't normally in those kind of peoples vocabulary.
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#83
maxfly
sepheronxI hope you aren't American or western european or you would come off as a massive hypocrite.

But humility isn't normally in those kind of peoples vocabulary.
Touch a nerve did I?
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#84
R-T-B
WirkoIs a graphics card actually made in China if the most valuable parts of it, which is the GPU and RAM dies and probably their packages too, are made in TW/SK/US?
Under trade law none of that matters. All that matters is the export country.
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#85
sepheronx
maxflyTouch a nerve did I?
No, just pointing out the hypocrisy of average westerner and stupidity. That is all.

Carry on with your false sense of care and pride.
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#86
maxfly
sepheronxNo, just pointing out the hypocrisy of average westerner and stupidity. That is all.

Carry on with your false sense of care and pride.
Hahaha that says it all.

Have a nice day "Sally". That's westerner for insecure little girls that call men names.
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#87
Wirko
R-T-BUnder trade law none of that matters. All that matters is the export country.
I don't know what the general rules are like but what you're saying isn't always the case.

The USMCA agreement between the US, M and CA has rules of origin.
www.trade.gov/usmca-dayone-0
(click on Rules of origin, then search the text for "percent" and "%")

The EU has trade agreements with Japan and South Korea (and other countries of course, but not the US, TW or China), which include rules of origin like this (general) clause:
Examples of the main types of product specific rules in EU trade agreements
  • the value-added rule – the value of all of the non-originating materials in a product cannot exceed a certain percentage of its ex-works price
(a long document, you find the interesting bits if you search for "percent", "%" or "processing")
Posted on Reply
#88
R-T-B
WirkoI don't know what the general rules are like but what you're saying isn't always the case.

The USMCA agreement between the US, M and CA has rules of origin.
www.trade.gov/usmca-dayone-0
(click on Rules of origin, then search the text for "percent" and "%")

The EU has trade agreements with Japan and South Korea (and other countries of course, but not the US, TW or China), which include rules of origin like this (general) clause:

(a long document, you find the interesting bits if you search for "percent", "%" or "processing")
Interesting, I did not know this, thanks.
sepheronxNo, just pointing out the hypocrisy of average westerner and stupidity. That is all.
Comparing Russias behavior as of late to any western nation, even the US, is very laughable and incredulous.

I'd list why but "no politics." Lets just say we have more than 4 (state run) TV channels in America, for starters. It helps you to think when you can at least pretend to have valid discourse.

Also this topic has nothing to do with Russia.
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#89
claes
Canadians :rolleyes:

jk ofc
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#90
Zareek
TheinsanegamerNBecause not setting the tariff results in the lowest common denominator being able to rob your industry blind (see also the US auto industry from the 90s to today). Something has to be done to protect domestic manufacturing, especially when other countries have tariffs on YOUR goods.
While I would agree that something should have been done about it twenty years ago. I think tariffs are too little too late. I can tell you there are several small manufacturers in my neck of the woods. Their biggest problem isn't the Chinese at the moment. Their issue is, and has been since before the pandemic, no one wants to work in a factory. They always have had openings, but now it's insane. One of my brothers works in a local factory. It's not hard work, it's not even dirty, but everyone hates it. He works the day shift, and he is one of six on that shift. Second shift has four times as many workers because no one wants to work for his foreman. Still, they would normally have fifty people on each shift. People would rather work at McDonalds or Walmart than make more money working in a factory. His factory is one of several in my region that cannot find enough workers. Some of them pay 50% or even a 100% better than entry retail or fast food.
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#91
sepheronx
R-T-BInteresting, I did not know this, thanks.


Comparing Russias behavior as of late to any western nation, even the US, is very laughable and incredulous.

I'd list why but "no politics." Lets just say we have more than 4 (state run) TV channels in America, for starters. It helps you to think when you can at least pretend to have valid discourse.

Also this topic has nothing to do with Russia.
Judging by your reply, you only watch the 4. Then again, I never expected an honest opinion from you.

Thankfully I'm old enough to remember what happened in the Balkans, middle east and Africa.

I'll let you live in your bubble, enjoy.
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#92
claes
How could a humble Canadian be so condescending and flippant?
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#93
sepheronx
R-T-BI don't watch any of them, being they are all state owned other than one odd duck canadian one that I can't seem to find much about. Granted, you have a lot more than 4, it would appear:

en.wikipedia.org/wiki/List_of_Russian-language_television_channels


That says a bit more about you than me. I'm a lot of things but I'm never intentionally dishonest.


Yes, all the superpowers kill people. Woo. You aren't establishing anything incredible here. One treats it's own citizens far better, and has a much more open media system. That was my point. Yes it's much like comparing shit and radioactive waste but one is worse than the other.
Since I have family both sides of the border and recent events in your country (and mine, Canada), I wouldn't be quick to make that assumption buddy.

You be you and live in your bubble. I won't.

Good day.
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#94
R-T-B
I'm sorry. Next time I'll just stop at the OT and cut it there.

I am removing my posts because this went on way too long and is completely OT. I'd advise you do the same.
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#95
claes
It’s okay I don’t think sepheronx’s marbles are in order, seems to be the only Canadian to embody America’s superiority complex just to condescend Americans
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#96
sepheronx
claesIt’s okay I don’t think sepheronx’s marbles are in order
they are in order.

It is just you guys cannot seem to accept your own responsibilities and issues of your own creation. A lot of projection is done and its rather funny.

Pointing out your guys hypocrisy is apparently my mental capacity is in question. Which tells me that many here, including you, do not seem to really understand what is actually happening. Kind of sad honestly. Got nothing against you guys but some of you need to understand humility and just accept the messes you created and stop pointing fingers at others. First step to recovery is acknowledging you got a problem.

As the saying goes - Don't throw stones from a glass house.
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#97
Why_Me
sepheronxSince I have family both sides of the border and recent events in your country (and mine, Canada), I wouldn't be quick to make that assumption buddy.

You be you and live in your bubble. I won't.

Good day.
I have family in White Horse and allI know is they can pound beer like nobody I've seen before.
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#98
sepheronx
Why_MeI have family in White Horse and allI know is they can pound beer like nobody I've seen before.
Let me know if the beer consumption doesnt conflict with the alzheimer's medication.

I forgot to ask but.. People actually live there?

I only heard rumors and know nobody who has been there.
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#99
claes
sepheronxthey are in order.

It is just you guys cannot seem to accept your own responsibilities and issues of your own creation. A lot of projection is done and its rather funny.

Pointing out your guys hypocrisy is apparently my mental capacity is in question. Which tells me that many here, including you, do not seem to really understand what is actually happening. Kind of sad honestly. Got nothing against you guys but some of you need to understand humility and just accept the messes you created and stop pointing fingers at others. First step to recovery is acknowledging you got a problem.

As the saying goes - Don't throw stones from a glass house.
I talk shit about America all day everyday buddy. Not even sure what you’re talking about, if it were my choice I’d turn the army into a civil service, like Frederic Jameson proposed in his famous essay on dual power. But what do I know I’m just some American fool on the Internet.
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#100
R-T-B
claesIt’s okay I don’t think sepheronx’s marbles are in order, seems to be the only Canadian to embody America’s superiority complex just to condescend Americans
It's ironic because I have been explicity anti-tariff and basically what most members would call "anti-american" all throughout this thread, and then he comes and knocks it out of the park by telling me I'm trapped in a "western bubble."

Like no man, we did shit, I know. South/Central America is real fucked up thanks to things that happened recently, for that matter. I just don't get why we can't seperate foreign and domestic policy for a moment.
claesBut what do I know I’m just some American fool on the Internet.
None of us can know. Aparentally you need family. And access to I guess, Russian TV stations?

I wonder if Swan Lake is playing lately.

The fact is we all have our bubbles to some extent. But at least I admit mine, and am open about them, and thus rely on logic to deconstruct arguments (mine that started this whole thing was simply "exclusive state media bad"), not family ties or whatever, which just build more bubble-reinforcement via further bias.

But I'm admittedly just being a shit now. I'll stop. I wouldn't blame the mods for handing out infractions here.
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