Updated Tariff Scenarios: Semiconductor Equipment Sales 2025 and 2026

U.S. and China cut tariffs by 115% on May 12, 2025, easing trade tensions. Industry outlook expected between May forecast and moderate scenarios.

On May 12, 2025, the Chinese and US governments reached an agreement to reduce tariffs by 115%. This decision brings US tariffs on Chinese goods down to 30% and China's tariffs on US goods to 10%. Additionally, both countries agreed to pause the remaining 24% reciprocal tariffs for 90 days. As a result of this announcement, we believe the industry will likely find itself between the May forecast and moderate scenarios.