The U.S. Trade Representative has unveiled a plan to impose fees on Chinese vessels docking at American ports in an effort to challenge China's dominance and bolster U.S. economic security. This initiative, announced by Ambassador Greer, is aimed at addressing threats to the U.S. supply chain and promoting the use of U.S.-built ships.
In the first phase lasting 180 days, fees will initially be set at zero. Following this period, vessel owners and operators based in China will be subject to fees that increase incrementally based on net tonnage for each voyage to the U.S. Furthermore, operators of Chinese-built ships will face increasing fees determined by net tonnage or container capacity. To further encourage U.S. manufacturing, additional fees will be applied to foreign-built car carrier vessels based on their capacity.
The second phase, set to commence in three years, aims to incentivize the construction of U.S.-built liquefied natural gas (LNG) vessels. This will involve limited restrictions on transporting LNG using foreign ships, with these limitations gradually intensifying over a period of 22 years.
Public commentary is being sought on the proposed tariffs targeting ship-to-shore cranes and other cargo handling machinery, complementing the President's recent Maritime Executive Order.
In a related policy shift, the Trump administration has placed restrictions on AI chip exports to China from major U.S. technology firms, including Nvidia (NVDA), AMD (AMD, Financial), and Intel (INTC). This move could potentially elevate Huawei's position in the global chip-making arena.
Meanwhile, discussions are underway between the European Union and the U.S. regarding the easing of methane emission regulations for American gas exports, with the EU considering increased LNG purchases as part of its strategy to wean off Russian gas by 2027.
In another development, President Trump has indicated his dissatisfaction with Federal Reserve Chair Jerome Powell, suggesting the possibility of replacing him, while also advocating for interest rate cuts amid falling costs in energy and food.
Lastly, efforts are underway to integrate cryptocurrency further into the banking system, with firms like Circle and BitGo exploring the acquisition of bank charters and licenses, and with Coinbase (COIN) and Paxos contemplating similar initiatives.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 40 analysts, the average target price for Advanced Micro Devices Inc (AMD, Financial) is $141.22 with a high estimate of $225.00 and a low estimate of $90.00. The average target implies an upside of 66.48% from the current price of $84.83. More detailed estimate data can be found on the Advanced Micro Devices Inc (AMD) Forecast page.
Based on the consensus recommendation from 50 brokerage firms, Advanced Micro Devices Inc's (AMD, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Advanced Micro Devices Inc (AMD, Financial) in one year is $162.68, suggesting a upside of 91.78% from the current price of $84.825. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Advanced Micro Devices Inc (AMD) Summary page.
