AMD ‘Well-Positioned’ to Be ‘Risk-Mitigated’ Against Chinese Tariffs, Says Executive

Advanced Micro Devices is “working through” the U.S.-China “trade situation” as “an industry,” Ruth Cotter, senior vice president-marketing, human resources and investor relations, told a Bank of America Merrill Lynch investor conference Thursday. The chipmaker is “partnering” with the Semiconductor Industry Association “and others” to mitigate the impact of the List 3 Section 301 tariffs on Chinese goods, which increased to 25 percent May 10 (see 1905090018), she said. “We're watching it carefully and ensuring that we are somewhat risk-mitigated as it pertains to tariffs and managing that for our customers.” AMD sources products from two “foundry partners” based outside China, she said. It also has “some backend manufacturing assets” and “test and assembly” operations in Malaysia, “so some of that is outside of China as well,” she said. “So kind of well-positioned from that perspective. I would say we're watching and monitoring the situation carefully.”