Trump exempts smartphones and computers from new tariffs
a year ago
- #tariffs
- #US-China trade
- #electronics
- US President Donald Trump's administration exempted smartphones and computers from reciprocal tariffs, including the 125% levies on Chinese imports.
- The exemptions include other electronic devices and components like semiconductors, solar cells, and memory cards.
- US tech companies raised concerns that gadget prices could skyrocket due to tariffs, as many are made in China.
- Estimates suggested iPhone prices and other electronics in the US could have tripled if tariff costs were passed to consumers.
- Apple, which accounts for over half of US smartphone sales, makes 80% of iPhones for the US market in China, with the rest in India.
- Apple and Samsung have been diversifying supply chains to reduce reliance on China, with India and Vietnam emerging as new manufacturing hubs.
- Trump initially planned steep global tariffs but reversed course, pausing tariffs for 90 days for non-China countries, while raising Chinese tariffs to 145%.
- The White House framed the tariff pause as a negotiating tactic to secure better trade terms.
- Trump claims his tariffs aim to address global trade unfairness and bring jobs and factories back to the US.