Updates

** Shares of chipmakers with U.S.-based manufacturing facilities fall after Chinese Semiconductor Industry Association's notice on "retaliatory" tariffs makes cos liable for higher levies

** Analog chipmakers Texas Instruments TXN.O down 8.2% to $143.87 and Analog Devices ADI.O falls 4.3% to $171.0

** Automotive semiconductor firm Onsemi ON.O down 4.7% at $33.25, PC and server chip giant Intel INTC.O down 7.3% at $18.42

** CSIA exempts U.S. chipmakers that outsource manufacturing from China's retaliatory tariffs

** The CSIA rules the country of origin is where the wafer fabrication plant is located, making TI, with its U.S.-based fabs, liable for tariff rates of 84% or higher, according to EETop, an information platform and forum for Chinese chipmakers

** The move will benefit chip firms like Qualcomm QCOM.O and AMD AMD.O that outsource to TSMC, shielding them from the tariff scuffle between the two largest economies

** AMD and AI chipmaker Nvidia NVDA.O up 3.3% and 1.4% respectively, QCOM down 1.9%

(Reporting by Padmanabhan Ananthan and Arsheeya Bajwa in Bengaluru)

((Padmanabhan.Ananthan@thomsonreuters.com))