Bitmain, Canaan and MicroBT — which collectively produce most of the world’s Bitcoin mining application-specific integrated circuits, or ASICs — are bringing production to the US, according to a Wednesday report by Reuters.
The shift comes in response to hefty reciprocal tariffs imposed on China by US President Donald Trump. Tariffs currently stand at 25% on products imported from China, after previously exceeding 100%.
An April study by the University of Cambridge shows that Bitmain is responsible for 82% of Bitcoin (BTC) ASIC production, MicroBT for 15%, and Canaan about 2%, giving the three companies a combined 99% share of the global market.
“The digital mining hardware market exhibits an oligopolistic structure, with the top three manufacturers — Bitmain, MicroBT, and Canaan — commanding over 99% market share,“ the study reads.
The companies have not answered Cointelegraph’s press inquiry by press time.
Related: Trump tariffs squeeze already struggling Bitcoin miners — Braiins exec
Geopolitical impact on Bitcoin mining
With Bitcoin being a global network, this is not the first time geopolitics has played a role in mining the world’s first cryptocurrency. Hashlabs Mining CEO Jaran Mellerud stated in early April that the Trump administration’s sweeping tariffs could lead to a collapse in US demand for Bitcoin mining rigs.
According to Mellerud, the tariffs would benefit mining operations outside the US, as manufacturers would look to sell their surplus inventory abroad at a lower cost. Still, with a booming US Bitcoin industry, these companies have opted to enter the country as a way to mitigate the economic impact of the tariffs.
It remains to be seen whether US-based production will be able to produce Bitcoin mining ASICs at a price comparable to those made in China.
Related: US mining companies feel supply squeeze from Bitmain shipment delays
Bitmain working through US headaches
The world’s top Bitcoin mining ASIC producer, Bitmain, may also be looking to prevent further issues with US customs. Back in late November 2024, the US Customs and Border Protection Agency halted the delivery of thousands of Bitmain ASICs.
This followed an October investigation by US authorities into Chinese chip designer Xiamen Sophgo over an alleged business relationship with US-sanctioned company Huawei. The firm supports Bitmain’s ASIC manufacturing business, which is what led to actions being taken against the mining giant.
Only in early March was the mining hardware released after about 10,000 ASICs had been seized.
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