Data Center Bytes

Tariff and trade policy in the United States is poised to affect nearly every industry, and data centers are no exception. Data centers built in the United States need to be outfitted, and much of that equipment comes from outside the United States and would be affected by US import controls and regulations. Import controls may involve quotas or other restrictions on what may be imported into the country or the imposition of tariffs on imported merchandise. Tariffs that are currently imposed under various trade measures, and anticipated additional tariff and non-tariff remedies resulting from trade investigations, will influence data center construction, hardware manufacture, software development, and energy consumption.

The growing interest in generative artificial intelligence (AI) has triggered a race to develop the technology, driving demand for high-density data centers and significantly increasing predicted electricity consumption. Research from the US Energy Information Administration and Goldman Sachs indicates domestic and global record-high energy demand is quickly approaching.