The US has introduced a temporary pause on a tech tariff that were to be levied on the imports of electrical goods, but President Trump has cast doubt on how long and wide the exception is.
President Donald Trump has introduced a temporary pause on plans to introduce tariffs on imports of smartphones, laptops and other electrical goods and components.
In a notice, the US Customs and Border Patrol said that some electronic devices would be excluded from Trump’s 10% global tariff, which he has introduced on most countries, and also the larger tariffs the President has levied on China.
Trump did not share details of the exemptions over the weekend, but the reversal came after US tech firms expressed concerns that the tariffs would cause the process of gadgets – many of which are made in China – to skyrocket.
The exemptions include laptops and smartphones, as well as some components including semiconductors, solar cells, and memory cards. They will be backdated to April 5.
However, in a post of his own social platform Truth Social, Trump cast doubts on the tariff exception, saying the administration is looking at moving tech into a different “bucket” of tariffs, with more to be announced this week.
White House Press Secretary Karoline Leavitt suggested Trump had introduced the exemptions to give tech firms more time to move manufacturing to the US – one of the stated goals of Trump’s tariff agenda.
“President Trump has made it clear America cannot rely on China to manufacture critical technologies such as semiconductors, chips, smartphones, and laptops,” Leavitt said in a statement.
“At the direction of the president, these companies are hustling to onshore their manufacturing in the United States as soon as possible.”
US retailers import about 80% of all smartphones, many of them from China, which Trump has slapped with tariffs totalling 145%. Some reports suggest devices such as the iPhone could have trebled in cost due to the tariffs.
China has responded with a tariff on all US exports of 125%. Beijing said at the weekend that the reprieve for smartphones was a “small step” toward easing the trade fight between the world’s two biggest economies.
Though there will be relief felt among tech companies who had seen their stock prices plummet after Trump unveiled sweeping tariffs, the reprieve could be temporary.
Speaking over the weekend, US commerce secretary Howard Lutnick said he expected the exception to be lifted in 90 days, with Trump planning to apply a specific levy on tech at some point.
Speaking on NBC, he said: “All those products are going to come under semiconductors, and they’re going to have a special focus-type of tariff to make sure that those products get reshored. We can’t be relying on China for fundamental things that we need.”
At the end of March, Trump unveiled sweeping tariffs for US trade partners, accusing several countries of “taking advantage” of the US. But last week the President announced a 90-day pause for countries hit by higher US tariffs, saying many had contacted him looking to negotiate trade agreements. China, however, faces a tariff of up to 145% on some goods, compared with a 10% base rate for almost every other country.
The tumultuous news around tariffs led tech stocks to tank last week, although major tech firms including Google-parent Alphabet and Meta have reiterated plans to invest billions in building new data centres, despite the potential rising costs.
Trump’s administration has also overhauled the US position on AI, directing federal agencies to prioritise AI innovation by appointing chief AI officers and developing forward-looking strategies, while rolling back several guardrails introduced during the Biden administration.
