Intel and GlobalFoundries shares moved higher on Friday after a Wall Street Journal report said the Trump administration is considering new steps to reduce America’s dependence on imported chips. The plan aims to push more manufacturing back to U.S. soil.
Intel’s stock rose nearly 3% while GlobalFoundries gained more than 5% in U.S. trading. The positive momentum came even as European and Asian chip stocks slipped. ASML, ASM International, and Infineon all traded lower in Europe. In Asia, Taiwan Semiconductor fell almost 2%, Samsung Electronics lost over 3%, and SK Hynix tumbled more than 5%.
The White House is reportedly weighing a rule that would force chipmakers to manufacture in the U.S. the same number of chips that their customers import. If companies fail to meet that 1:1 balance, they could face tariffs. The idea lines up with Trump’s broader push for local production. Just last month, he announced 100% tariffs on chip imports but excluded firms that already produce within the U.S.
Commerce Secretary Howard Lutnick has discussed the proposal with chip executives. Still, experts question whether the plan is realistic. Making chips locally is far more expensive because of higher labor and input costs. Building the necessary infrastructure also requires huge investments of time and money.
For Intel, the news comes during a remarkable turnaround in its stock performance. The U.S. government recently bought a 10% stake in the company, NVIDIA invested $5 billion last week, and fresh reports suggest Apple and Taiwan Semiconductor might also explore deals. Each headline has fueled a sharp rally.
After soaring 25% on the NVIDIA announcement and another 15% on the Apple news, Intel’s shares are now up 70% in 2025. Analysts believe the rally could continue, not only because of the fundamentals, but also because Intel’s CEO has managed to keep the company constantly in the spotlight. According to Lynx Equity analyst KC Rajkumar, many large investors who ignored the stock for a long time may now be forced to take another look.