By Adam Clark

Nvidia was rising on Tuesday after the chip maker promised more U.S. investment and the Trump administration opened a new investigation that could result in tariffs on semiconductors.

Nvidia shares were up 0.3% at $111.06 in the Tuesday premarket . The stock fell 0.2% in Monday's session.

Nvidia said it plans to build artificial-intelligence supercomputers in the U.S., producing up to $500 billion in AI infrastructure in the U.S. with its partners within the next four years.

The company said its Blackwell graphics-processing units are already in production at Taiwan Semiconductor Manufacturing chip factories in Arizona and it is working with Foxconn and Wistron to build AI supercomputer factories in Houston and Dallas, respectively.

The announcement won approval from the Trump administration, although Nvidia didn't give details of what volume of products or capacity it ultimately plans to reach.

"They're coming here in the biggest way, with hundreds of billions of dollars, not like millions of dollars, hundreds of billions of dollars and I'm honored by it," Trump said Monday in the Oval Office. "The higher the tariff, the faster they come," he said of manufacturers and companies.

The Trump administration is investigating imports of semiconductors on national security grounds, according to a notice posted Monday to the Federal Register. The filing is set to be published on Wednesday and shows the probe will be carried out under Section 232 of the Trade Expansion Act of 1962, which allows the president to impose tariffs on goods deemed essential for national security.

Among other chip makers, Advanced Micro Devices rose 0.41% in premarket trading and Broadcom was up 0.3%.

Write to Adam Clark at adam.clark@barrons.com

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April 15, 2025 05:14 ET (09:14 GMT)

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