U.S. Secretary of Commerce Howard Lutnick warned that South Korean and Taiwanese memory chipmakers that are not investing in the U.S. could be subject to tariffs of up to 100 percent.

According to Bloomberg, Lutnick issued the warning on Friday after attending a groundbreaking ceremony for a new Micron Technology plant outside Syracuse, New York.

The commerce secretary said companies seeking to manufacture memory chips face two options: pay a 100 percent tariff or build production facilities in the United States.

Lutnick also said potential levies spelled out under a trade accord with Taiwan from the previous day could also affect chipmakers from South Korea.

On Thursday, the U.S. and Taiwan struck a deal in which Taiwanese companies constructing new U.S. chip fabs, such as TSMC, would be able to import up to two-point-five times their building capacity during construction with a tariff exemption.

When the factories are completed, companies will be able to import one-point-five times their U.S. production capacity with no tariffs.

In a joint fact sheet with Seoul last year, Washington agreed to offer semiconductor tariff rates that are no less favorable than those that may be offered to other countries whose semiconductor trade volume with the U.S. is at least as large as South Korea’s.