Intel Faces Fresh Pressure as China Targets U.S.-Made Chips in Trade Salvo

April 11 - Shares of Intel (NASDAQ:INTC) sank 4% during Friday afternoon trading session as investors digested newly released Chinese trade rules that could add pressure to U.S. chipmakers with domestic operations.

• Warning! GuruFocus has detected 7 Warning Signs with INTC.

Texas Instruments (NASDAQ:TXN) also plunged 5%, as analysts flagged the company's exposure to U.S.-based chip manufacturing, a potential target under China's latest tariff framework.

Although semiconductors have so far avoided direct tariffs under current U.S. policies, China's retaliatory stance appears to focus on American firms producing chips domestically. Analysts warned that both imports into and exports out of China could be affected, creating cost burdens and operational complexity.

The U.S. and China have escalated tit-for-tat trade actions in recent months, renewing volatility in tech-heavy sectors. While previous rounds of tariffs spared raw chips, the shift in China's policy may pose a broader risk to U.S. fab operators.

Intel and Texas Instruments were among the worst performers in the semiconductor space Friday, underlining growing investor unease over geopolitical risks tied to supply chains.