Qualcomm (QCOM) shares tumbled 5.11% in pre-market trading on Friday, as semiconductor stocks faced significant pressure following China's announcement of retaliatory tariffs. The move comes in response to the Trump administration's recent imposition of higher tariffs on imports from several countries, including China.

The semiconductor industry, already reeling from the US government's new tariff policies, took another hit as China declared a 34% import tariff on all US goods. This escalation in the trade dispute has sent shockwaves through the tech sector, with many semiconductor stocks experiencing sharp declines. Qualcomm's pre-market plunge is part of a broader trend, with other major players in the industry also suffering significant losses.

While semiconductors were initially exempted from the US tariffs, analysts warn that the impact on the industry could still be substantial. Chris Caso of Wolfe Research noted that the "much more significant impact is, rather, the tariffs that will be imposed on finished goods containing semiconductors." This suggests that companies like Qualcomm, which rely heavily on global supply chains and markets, may face ongoing challenges as trade tensions continue to escalate. Investors are now closely watching how tech companies will navigate this uncertain economic landscape and whether they can mitigate the potential long-term effects of these tariffs on their operations and profitability.