British semiconductor supplier IQE, a partner of Apple, plans to transfer part of its production to the United States and implement a dual sourcing strategy to mitigate the potential impact of future US tariffs on the chip industry. Its new CEO, Jutta Meier, announced this on Tuesday in an interview with Reuters.

Last month, President Donald Trump raised the possibility of introducing tariffs on semiconductors of "25% or more," without specifying a timeline.

"We are in constant discussion with our customers to find solutions to cushion the tariff shock," said Meier, who was officially appointed head of the company on Tuesday. "The other point is that we need to look at alternative sources of supply, move some of our production to the US, and secure local capacity. But that will require investment and time."

IQE manufactures compound semiconductor wafers used in iPhone facial recognition sensors. As part of its diversification strategy, the company is also exploring sources of gallium supply outside China.

In addition, IQE is considering a complete divestiture of its Taiwan operations as part of a strategic review aimed at reducing debt and accelerating growth. This option, which follows previous discussions about an IPO for the subsidiary, now appears to be the most appropriate course of action, management says.

"A total sale makes sense in terms of timing, but also in terms of the valuation of the remaining business. The proceeds could be reinvested much more quickly to support our growth and diversification strategy," Meier explained.

For the current fiscal year ending December 2025, IQE expects revenue of between £115.1m and £123m (approximately $151.9m to $162.3m), in line with market expectations. Last year, the company generated £118m in revenue.