According to an announcement issued by U.S. Customs and Border Protection (CBP), smartphones, computer monitors, and various electronic components are among the products exempt from the tariffs imposed by President Donald Trump.
Days ago, the 78-year-old Republican imposed a base tariff of 10% on all foreign imports. Additionally, he implemented “reciprocal” higher tariffs for dozens of countries after determining they had been taking advantage of the U.S. by imposing excessive tariffs on American products.
Regarding China, Trump was even harsher, escalating tariffs within less than a week to a final rate of 145%. This was seen by the Asian government as an abuse, prompting a response with a 125% tariff on U.S. imports.
The stance taken by both nations caused confusion in the business sector, particularly for U.S. companies whose production takes place in Chinese cities.
Speculation immediately began that the tech sector would face million-dollar losses once the tariffs took effect. Except for China, Trump delayed these tariffs for 90 days.
However, in a highly strategic move to ease concerns among multiple companies, the U.S. government chose to exclude smartphones, computing equipment, and various electronic products from the so-called reciprocal tariffs.
In this regard, Wedbush Securities Inc., a financial services firm, issued a statement saying the new stance taken by Washington provides relief to at least three major companies in the tech sector.
“Big tech companies like Apple, Nvidia, Microsoft, and the tech industry as a whole can breathe a sigh of relief this weekend and on Monday.
A major step forward for U.S. tech companies with these exemptions, and the most positive news we could have heard this weekend… Now, on to the next stage in tariff war negotiations with China, which will last at least several months,” the statement reads.
It should be noted that the tariff exemption does not currently include semiconductors.
Image: Infobae
