Trump Tariffs Threaten Bitcoin Mining in the US

New US import tariffs on mining rigs could stall Bitcoin mining growth. Luxor seeks exemption for ASICs as firms explore friendlier markets.

US hikes tariffs on mining equipment imports

Donald Trump’s administration has raised tariffs on mining equipment from Southeast Asia, which may slow growth in the domestic mining sector. The warning came from Ethan Vera, COO of Luxor Technology.

As of July 31, imports from Malaysia, Indonesia, and Thailand are subject to a 19% tariff, totaling 21.6% with other fees. Chinese ASIC imports remain at 57.6%, though a 145% hike had been considered.

The US becomes less attractive for ASIC imports

Previously, the standard import duty was 2.6%. Chinese rigs faced a 25% surcharge. Now, the US ranks among the least appealing countries for mining device imports.

Vera forecasts that mining hardware will shift to countries with lower tariffs. These include Canada, Chile, Brazil, Paraguay, Ethiopia, and Northern Europe.

Luxor pushes for ASIC tariff exemption

Luxor Technology is actively working with partners like MicroBT to ease logistics and import issues. The firm is also lobbying for an exemption of mining equipment from the new tariff list.

Vera noted that while final assembly in the US is already feasible, most materials still come from Asia. It could take years before fully domestic ASIC production becomes viable.

Meanwhile, manufacturers like Canaan and MicroBT are relocating operations to the US to avoid added costs.