US AI Chip Tariffs May Lead to the Loss of 500,000 Tech Jobs — Here's the Breakdown

Experts caution that the 25% tariff on advanced AI chips imposed by Trump could result in the loss of between 300,000 and 500,000 tech jobs in the US over the next five years. This is due to the slowing down of the $3 trillion AI expansion that has been fueling notable growth in tech employment. The tariff hinders data center development, reduces chip imports, and limits AI implementation — all key factors that support US tech job growth. At the same time, China is strengthening its AI collaborations throughout Southeast Asia, establishing alternative technology supply chains that might undermine US leadership in AI.