Tariffs on a new Iphone could've been almost $1000
WASHINGTON/WEST PALM BEACH, Florida, April 12 (Reuters) - President Donald Trump's administration granted exclusions from steep reciprocal tariffs to smartphones, computers and some other electronics imported largely from China, providing a big break to tech companies like Apple that rely on imported products.
In a notice to shippers, opens new tab, the U.S. Customs and Border Protection agency published a list of tariff codes excluded from the import taxes. The exclusions are retroactive to 12:01 a.m. EDT (0401 GMT) on April 5.
The Reuters Tariff Watch newsletter is your daily guide to the latest global trade and tariff news. Sign up here.
The U.S. CBP listed 20 product categories, including the broad 8471 code for all computers, laptops, disc drives and automatic data processing. It also included semiconductor devices, equipment, memory chips and flat panel displays.
The notice did not provide an explanation for the move, but the late-night exclusion provides welcome relief to major technology firms such as Apple (AAPL.O), opens new tab, Dell Technologies (DELL.N), opens new tab and many other importers.
Trump's action also excludes the specified electronics from his 10% "baseline" tariffs on goods from most countries other than China, easing import costs for semiconductors from Taiwan and Apple iPhones produced in India.
Wedbush Securities analyst Dan Ives called the announcement "the most bullish news we could have heard this weekend."
"There is still clear uncertainty and volatility ahead with these China negotiations.... Big Tech firms like Apple, Nvidia, Microsoft and the broader tech industry can breathe a huge sigh of relief this weekend into Monday," Ives said in an industry note.
Many tech company CEOs have embraced Trump as he begins his second term, attending his January 20 inauguration in Washington and celebrating with him afterward. Apple CEO Tim Cook hosted a pre-inaugural ball and has visited Trump at his home in Florida.
For the Chinese imports, the exclusion only applies to Trump's reciprocal tariffs, which climbed to 125% this week, according to a White House official. Trump's prior 20% duties on all Chinese imports that he said were related to the U.S. fentanyl crisis remain in place.
But the official said Trump will launch a new national security trade investigation into semiconductors soon that could lead to other new tariffs.
White House spokesperson Karoline Leavitt said in a statement that Trump has made clear the U.S. cannot rely on China to manufacture critical technologies such as semiconductors, chips, smartphones and laptops.
But she said that at Trump's direction, major tech firms, including Apple and chipmakers Nvidia (NVDA.O), opens new tab and Taiwan Semiconductor (2330.TW), opens new tab "are hustling to onshore their manufacturing in the United States as soon as possible."
WASHINGTON/WEST PALM BEACH, Florida, April 12 (Reuters) - President Donald Trump's administration granted exclusions from steep reciprocal tariffs to smartphones, computers and some other electronics imported largely from China, providing a big break to tech companies like Apple that rely on imported products.
In a notice to shippers, opens new tab, the U.S. Customs and Border Protection agency published a list of tariff codes excluded from the import taxes. The exclusions are retroactive to 12:01 a.m. EDT (0401 GMT) on April 5.
The Reuters Tariff Watch newsletter is your daily guide to the latest global trade and tariff news. Sign up here.
The U.S. CBP listed 20 product categories, including the broad 8471 code for all computers, laptops, disc drives and automatic data processing. It also included semiconductor devices, equipment, memory chips and flat panel displays.
The notice did not provide an explanation for the move, but the late-night exclusion provides welcome relief to major technology firms such as Apple (AAPL.O), opens new tab, Dell Technologies (DELL.N), opens new tab and many other importers.
Trump's action also excludes the specified electronics from his 10% "baseline" tariffs on goods from most countries other than China, easing import costs for semiconductors from Taiwan and Apple iPhones produced in India.
Wedbush Securities analyst Dan Ives called the announcement "the most bullish news we could have heard this weekend."
"There is still clear uncertainty and volatility ahead with these China negotiations.... Big Tech firms like Apple, Nvidia, Microsoft and the broader tech industry can breathe a huge sigh of relief this weekend into Monday," Ives said in an industry note.
Many tech company CEOs have embraced Trump as he begins his second term, attending his January 20 inauguration in Washington and celebrating with him afterward. Apple CEO Tim Cook hosted a pre-inaugural ball and has visited Trump at his home in Florida.
For the Chinese imports, the exclusion only applies to Trump's reciprocal tariffs, which climbed to 125% this week, according to a White House official. Trump's prior 20% duties on all Chinese imports that he said were related to the U.S. fentanyl crisis remain in place.
But the official said Trump will launch a new national security trade investigation into semiconductors soon that could lead to other new tariffs.
White House spokesperson Karoline Leavitt said in a statement that Trump has made clear the U.S. cannot rely on China to manufacture critical technologies such as semiconductors, chips, smartphones and laptops.
But she said that at Trump's direction, major tech firms, including Apple and chipmakers Nvidia (NVDA.O), opens new tab and Taiwan Semiconductor (2330.TW), opens new tab "are hustling to onshore their manufacturing in the United States as soon as possible."
Loading…
www.reuters.com
