On Friday, the Trump administration announced that electronics such as smartphones and laptops would be exempt from reciprocal tariffs. This decision could help maintain lower prices for popular consumer electronics that are not commonly manufactured in the U.S.
This exemption is expected to benefit major tech firms, including Apple and Samsung, as well as semiconductor manufacturers like Nvidia.
WATCH: Brooks and Capehart discuss Trump’s tariffs and the market’s response.
According to U.S. Customs and Border Protection, products like smartphones, laptops, hard drives, flat-panel monitors, and certain chips will receive the exemption. However, machines used for semiconductor production will not be exempted, meaning they will still face the existing 145 percent tariffs imposed on China and a 10 percent baseline tariff on products from other countries.
This latest adjustment in tariffs reflects the administration’s ongoing revisions to its ambitious tariff strategy aimed at promoting domestic manufacturing. However, these exemptions highlight the reality that the current electronics supply chain is predominantly based in Asia, making it difficult to shift production to the U.S. For instance, nearly 90 percent of iPhones are manufactured and assembled in China, as reported by Wedbush Securities.
Wedbush analyst Dan Ives noted that this decision lightens “a significant dark cloud over the tech sector and the pressures facing U.S. Big Tech” in a recent research note.
Previously, Trump mentioned that he would consider exempting specific companies from tariffs.
As of early Saturday, neither Apple nor Samsung had responded to requests for comments, while Nvidia opted not to comment.
The White House did not provide an immediate response to requests for comment on Saturday.
Reliable, insightful journalism for all.
Your tax-deductible contribution helps sustain our essential reporting. Support PBS News Hour today.
