The top three bitcoin mining rig producers—Bitmain, Canaan, and MicroBT—are pivoting toward U.S.-based manufacturing in response to mounting tariff pressures and broader geopolitical tension between the United States and China.
Together, these firms manufacture more than 90% of the world’s mining computers used to secure the bitcoin network and generate new digital currency.
These moves come as the Trump administration’s tariffs on Chinese goods reshape the cryptocurrency supply chain. Guang Yang, chief technology officer at Conflux Network, emphasized the shift isn’t minor.
“The U.S.-China trade war is triggering structural, not superficial, changes in bitcoin’s supply chains,” he said. Yang added that this transition signals a deeper move toward hardware sources that align with U.S. political preferences.
Bitmain initiated American production of its mining equipment in December, a month after Trump secured the presidency. Canaan began trial production in the U.S. to avoid the consequences of tariffs introduced on April 2.
Leo Wang, a senior executive at Canaan, called the effort a cautious exploration, noting that unpredictable tariffs make major investments risky. Meanwhile, MicroBT said it is “actively implementing a localisation strategy in the U.S.” to counter tariff effects.
Related story: Foxconn Redirects Nearly All India-Made iPhones to U.S. as Apple Works Around Trump-Era Tariffs
Security Concerns and Industry Dependence
Despite their push into U.S. territory, these firms face new concerns about national security and industry dependence.
Sanjay Gupta, chief strategy officer at U.S.-based Auradine, pointed out, “While over 30% of global bitcoin mining occurs in North America, more than 90% of mining hardware originates from China representing a major imbalance of geographic demand and supply.”
He further warned that the connection of Chinese-manufactured machines to the U.S. electrical grid could pose security risks.
Wang responded to such concerns by asserting that mining rigs are only useful within the context of bitcoin mining and don’t pose a broader threat.
Still, Chinese manufacturers could become collateral damage in ongoing U.S. crackdowns on advanced tech exports, as demonstrated by the blacklisting of Bitmain’s AI unit, Sophgo.
Canaan has since moved its headquarters to Singapore and launched a pilot production facility in the U.S., a market that now delivers 40% of its revenue.
“The rationale is to try to reduce the cost for both us and our customers,” said Wang. Ongoing tariffs—10% on general imports and an additional 20% for Chinese goods—add to the pressure to diversify production locations.
Even with these adjustments, U.S. miners remain heavily reliant on Chinese hardware. Crypto attorney John Deaton noted, “If China restricts exports or manipulates supply … it could disrupt bitcoin’s network stability and affect U.S. users and investors.”
According to Komodo’s Kadan Stadlemann, the situation isn’t meant to damage the industry but to catalyze a necessary transformation in its infrastructure.
Read next: OpenAI Considers Legal Action Against Microsoft Over Partnership Terms
Boost your career with Prepsaret! Whether you’re preparing for PMP, CompTIA, or HR certifications, Prepsaret offers the resources and guidance you need to thrive.
Explore high-quality study guides, authentic practice tests, and expert advice—all designed to help you achieve your goals and take your career to the next level.