The prices of stocks in Apple, alphabet and technology companies in other Silicon Valley recovered on Monday after the Trump administration said that the electronics, including semiconductors and smartphones, were exempt from the “mutual tariff” that was announced earlier this month.
But the apostasy may not last. Technology giants can still face radical changes on how to manage their supply chain and costs.
The Minister of Commerce, Howard Lootnick ABC News On Sunday, these electronic products will be part of the definitions that affect the semiconductor sector “which will come”, which are likely to be in a month or two.
Apple shares rose by 2 % to $ 202.52 per share on Monday, a batch of the sharp decline in the stock after Trump announced the mutual definitions earlier this month. Google Pater Compane Alphabet and Chip Maker AMD also got a postponement, as stock prices rose by 1 % on Monday.
Apple shares decreased after Trump announced an additional tariff for China, Vietnam and India on April 2. Trump has since stopped an additional tariff for most countries, but he raised duties on Chinese imports to 145 %.
“We need to make these things in America, we cannot rely on Southeast Asia for all the things that work for us,” Lutnick. ABC saidAdding that the goal is for companies to return more of their manufacture to the United States.
It worries the escalating conflict from investors because Apple and other technology companies produce many products in China. Although it has turned more production to India in recent years, Apple still makes most iPhone devices in China the mainland.
Amid more pressure from the White House, Apple and NVIDIA announced plans to bring more jobs to the United States
NVIDIA said on Monday that it is working with its partners to create and test Nvidia Blackweell chips in Arizona and Ai Supercants in Texas, with production increased in the next 12 to 15 months.
“The addition of American manufacturing helps us to meet the demand better and increasingly on artificial intelligence chips and super computers, enhances our supply chain, and enhances our flexibility,” Nvidia, CEO of NVIDIA, said in a statement.
The NVIDIA share price was closed at $ 110.71 on Monday, almost unchanged.
Apple said in February it will invest $ 500 billion in the United States, which will go towards various efforts, including opening a Houston manufacturing facility.
However, analysts say it will be difficult to restore manufacturing functions to the United States and that rebuilding supply chains may take years.
“In general, we look at Divying Weekend Tref Amber as a forward -positive step for Apple as well as other technology names,” wrote Daniel Eve, the administrative director of Wedbush Securities.
