In a rare shift in his tariff strategy, former President Donald Trump has approved exemptions for certain electronic goods including smartphones and semiconductors—from steep import taxes, providing temporary relief to tech companies.
The US Customs and Border Protection announced that these electronics would no longer fall under Trump’s 10% general tariff or the significantly higher levies targeting Chinese imports.
The exemptions, retroactive to April 5, cover items like memory cards, solar cells, and key smartphone components.
Tech experts described the move as a major shift. “This is a dream scenario for tech investors,” said Dan Ives of Wedbush Securities. “It’s a game-changer.”
The decision follows growing concerns from companies such as Apple, Microsoft, and Nvidia that rising costs could make devices prohibitively expensive.
Analysts warned that if tariffs had been passed onto consumers, iPhone prices might have tripled.
White House Press Secretary Karoline Leavitt said the exemptions were granted to give companies time to relocate manufacturing to the US.
“President Trump has made it clear America must not depend on China for critical tech,” she said, noting firms are now accelerating efforts to shift operations.
While travelling to Miami, Trump promised to provide further details early next week. “We’re taking in a lot of money,” he told reporters aboard Air Force One.
Despite the tariff break, products from China are still subject to a separate 20% duty tied to fentanyl-related trade actions, according to Deputy Chief of Staff Stephen Miller.
Meanwhile, Trump defended his high tariffs on Chinese goods, citing retaliation by Beijing.
He announced a 90-day suspension on higher tariffs for most nations—excluding China, whose levy rose to 145%.
Countries that refrain from retaliating will face only a flat 10% tariff until July, a move the White House called a negotiating tool.
Apple, which relies on China for 80% of its US-bound iPhone production, has reportedly sped up efforts to expand manufacturing in India and Vietnam in response.