Samsung Electronics on Tuesday projected a far worse than expected 56% plunge in second-quarter operating profit due to weak AI chip sales, deepening investor concerns over the tech giant's ability to revive its struggling semiconductor business.

Samsung is also facing broader geopolitical pressure, as US President Donald Trump threatens new 25% tariffs on South Korean exports. Trump has urged firms like Samsung and Apple to shift production to the US, part of a broader trade strategy that Seoul is closely monitoring to avoid further economic strain.

Samsung Electronics reported a 4.6 trillion won ($3.34 billion) operating profit for the second quarter of this year, down 55.94 percent from the same period last year.