Washington (Agencies): In a major relief to the tech industry, the Trump administration has officially exempted smartphones, computers, and a broad range of electronic components from recently imposed tariffs—including the steep 125% duties targeting Chinese imports. The exemptions, announced by U.S. Customs and Border Protection on Friday, are also applicable to President Donald Trump’s new 10% global tariff on electronics, excluding goods from most countries.
Backdated to April 5, the policy shift is seen as a strategic reprieve for U.S. technology companies, which had warned of sharp consumer price increases due to their heavy dependence on Chinese manufacturing. Industry experts have labeled the move a “game-changer,” noting that it shields major firms like Apple, Microsoft, and Nvidia from potentially disruptive cost hikes.
The exemptions apply to a wide array of electronic products and components, including smartphones, laptops, semiconductors, solar cells, and memory cards—items central to the functioning of both the consumer tech market and broader digital infrastructure.
“This is a dream scenario for tech investors,” said Dan Ives, global head of technology research at Wedbush Securities. “It removes a huge overhang that was threatening the entire sector, especially hardware and chip manufacturers.”
White House Press Secretary Karoline Leavitt stated that while the administration remains committed to reshoring key industries, the exemptions provide essential breathing room. “President Trump has made it clear that America cannot rely on China to manufacture critical technologies such as semiconductors, chips, smartphones, and laptops. This move is designed to give companies the time needed to relocate production back to U.S. soil,” she said.
Apple, which produces roughly 80% of iPhones for the U.S. market in China, had faced the prospect of tripling retail prices if the tariffs had remained in full effect. The company has accelerated supply chain diversification efforts in response, expanding operations in India and Vietnam.
Despite the relief, these exempted goods remain subject to a 20% tariff tied to fentanyl-related trade sanctions on China, according to White House Deputy Chief of Staff Stephen Miller. China, unlike other countries, will also see broader tariff increases, with rates raised to 145% due to its retaliatory measures—part of what Trump described as a strategic move to gain leverage in ongoing trade negotiations.
The White House has also announced a 90-day pause on additional tariff hikes for most countries, another sign of potential recalibration in trade policy as the administration weighs economic and political fallout.
These exemptions mark the first major reversal in Trump’s hardline tariff regime, signaling a possible softening of rhetoric in favor of economic stability, particularly in the high-stakes tech sector. Further adjustments to trade strategy are expected in the coming weeks as businesses assess the impact and adapt to shifting supply chain expectations.