The US government has exempted certain electronics from tariffs imposed by Donald Trump’s administration.
Tariff Exemptions
The exemptions include smartphones, computers, and electronic components like semiconductors and memory cards.
These products are mainly made in China.
The US Customs and Border Protection (CBP) announced the exemptions, along with the tariffs imposed on various countries.
The tariffs were supposed to be reciprocal, meaning the US would charge countries that have a trade deficit with them.
However, Trump delayed the reciprocal tariffs for 90 days for most countries, except China.
Impact on Tech Companies
US tech companies were worried that the tariffs would increase their product prices.
Their concerns led to the exemptions.
Many US tech companies, including Apple, rely heavily on Chinese manufacturing.
In 2024, over half of Apple’s iPhones sold in the US were made in China.
Apple, along with competitors like Samsung, has been trying to diversify its production.
India and Vietnam are emerging as alternative manufacturing hubs.
Tariff Rates
The tariffs imposed by Trump include a baseline tariff of 10% on imports from around the world.
The reciprocal tariffs vary by country, depending on their trade deficit with the US.
China faces the highest tariff rate at 145%.
The exemptions are a result of pressure from US tech companies.
The source of this information is bbc.