Mining Giants Move Production to U.S. Amid Tariffs
Jordan Lee
June 18, 2025
“Shoring up U.S. manufacturing is key to escaping geopolitical headwinds and meeting surging miner demand.”
Overview
On June 18, 2025, Reuters reported that Bitmain, Canaan, and MicroBT have each begun opening manufacturing lines in the U.S.—primarily in Texas and Georgia—to circumvent ongoing U.S. technology export restrictions and tariffs on Chinese-made mining hardware.
The move represents a strategic overhaul in the global Bitcoin-mining supply chain, promising shorter lead times for North American customers and providing U.S. miners with more direct access to next-generation rigs.
Background & Rationale
Since late 2024, the U.S. Commerce Department has imposed heavy duties on Chinese mining equipment, citing national-security concerns. The resultant 25% tariff drove up costs for American miners, squeezing margins amid increasing competition.
Establishing stateside factories allows manufacturers to classify these products as “Made in U.S.A.”, bypassing import levies and easing export controls on critical chipsets.
Market Impact
Within hours of the announcement, shares of publicly traded mining firms like Marathon Digital and Riot Platforms jumped 6% and 5%, respectively, on the NASDAQ.
On-chain analytics firm CryptoQuant noted a 15% uptick in on-exchange order placements for next-gen ASICs, suggesting miners are reallocating capex plans to take advantage of lower domestic pricing.
Expert Analysis
“It’s a game-changer for U.S. mining operations,” says Dr. Laura Chen, supply-chain lead at CoinMetrics. “Local production mitigates geopolitical supply shocks and ensures faster deployment cycles.”
Jake Smith, CTO at HashRate Capital, adds, “We anticipate a gradual 10–15% reduction in hardware costs for U.S. customers by Q4, which could unlock new growth for smaller mining firms.”
Outlook
As U.S. production ramps up through H2 2025, analysts expect global hashing power to rebalance, with North America capturing an even larger share of Bitcoin’s network security.
Continued investment in domestic chip fabrication could also spark broader innovation in energy efficiency, potentially lowering the environmental footprint of large-scale mining.