Though the United States is the global leader in designing chips, the vast majority of chip production happens overseas, particularly in U.S.-ally Taiwan.

Taiwan’s government will soon look at whether it needs to help its domestic industry over threats by President Donald Trump to put tariffs on semiconductors, Premier Cho Jung-tai said on Wednesday.

How big a financial hit would Apple and its Taiwanese chip making partner TSMC take if and when U.S. President Donald Trump's proposed tariffs take effect?

Donald Trump called for tariffs on foreign computer chips, semiconductors, and pharmaceuticals from places like Taiwan in the near future.

Some are suggesting that this would affect the price of everything Apple makes, as its chips are made in Taiwan, but that’s almost certainly not the case … The Register reports that Trump threatened to set the rate as high as 100%.

President Donald Trump has stated that he plans to impose tariffs as high as 100% on semiconductors made outside the U.S. Trump previewed the plan Monday afternoon during a GOP event in his Doral, Florida,