More than a week after increasing customs tariffs on products imported from China, the Trump administration issued a base late on Friday that survived smartphones, computers, semiconductors and other fees from some fees, in large holes for technology companies such as Apple and DELL, iPhones and other consumer electron.
A message A long list of products that do not face mutual definitions have been published in recent days on Chinese goods as part of a deteriorating commercial war. Exceptions will also apply to modem devices, routers, tablets and other technological commodities, which are not largely made in the United States.
The exemptions are not a complete reaffirmation. Other definitions will continue to apply to electronics and smartphones. The Trump administration applied a 20 percent tariff to Chinese goods earlier this year, when the administration said it was the country’s role in the Fintanel trade. Management can eventually increase the customs tariff for semi -conductors, which is a vital component of smartphones and other electronics.
The movements were the first major exemptions for Chinese goods, which will have widespread effects on the American economy if they continued. Technology giants such as Apple and NVIDIA were largely avoided the penal taxes that could reduce their profits. Consumers – some of whom rushed to buy iPhone devices last week – will avoid a significant increase in smartphones, computers and other tools. Exemptions may reduce additional inflation and calm the disturbances that many economists fear may lead to recession.
The relief tariff was also the last Flip in Mr. Trump’s efforts to rewrite global trade in an attempt to enhance American manufacturing. The factories that are separated from iPhone, laptops and other electronics are deeply entrenched in Asia – especially in China – and it is unlikely to move without motor force such as the sharp taxes suggested by the Trump administration.
“It is difficult to know whether there is awareness within the administration that the rehabilitation of the American economy is a huge effort,” said Matthew Slator, Dean of the Talk College of Business in Dartmouth.
Electronics exemptions apply to all countries, not just China.
However, any relief to the electronics industry may be short -term, because the Trump administration is preparing another for the commercial investigation into national security in semiconductors. This will also apply to some estuary products such as electronics, because many semiconductors come to the United States within other devices, a person familiar with it said. These investigations have already led to an additional tariff.
Caroline Levitt, a White House spokeswoman, said in a statement on Saturday that Mr. Trump was still committed to seeing more of these products and ingredients manufactured locally. “President Trump has made clear that America cannot rely on China to manufacture critical technologies” and that he is in his direction, “technology companies are roaming its beach in its manufacture in the United States as soon as possible.”
Speaking of the background because they were not allowed to speak publicly, the Friday’s exemptions were aimed at maintaining America’s supplies from semiconductors, a founding technology used in smartphones, cars, spices and dozens of other products. Several semiconductors are manufactured abroad, as in Taiwan.
Paul Ashworth, the chief economist in North America in capital economics, said this step “represents a partial cancellation of President Trump’s commercial war with China.”
He said that the types of twenty products that were exempt on Friday represent nearly a quarter of the United States’ imports from China. He said that other countries in Asia will be a greater winner. He said that in the event of the start of the customs tariff for those countries again, the exemption will cover 64 percent of American imports from Taiwan, 44 percent of imports from Malaysia and nearly a third of the imports from both Vietnam and Thailand.
The changes in a brutal week abandoned Mr. Trump from many customs tariffs he presented on April 2, which was called “Liberation Day”. The so -called mutual drivers provided taxes that will reach 40 percent on imported products from some countries. After a decrease in stock and bond markets, Mr. Trump reflected the path and said he would stop fees for 90 days.
China was One exception For Mr. Trump’s relief because Beijing chose to take revenge on the American tariff with its fees. Instead of stopping the customs tariffs on Chinese imports, Mr. Trump increased it to 145 percent and did not show any willingness to spare any companies from these fees. On the other hand, China said on Friday that it raises its definitions on American goods 125 percent.
Which has sent shares of many technology companies to a free fall. Over the course of trading, the Apple rating, which makes about 80 percent of iPhone devices in China, decreased by $ 773 billion.
Currently, Mr. Trump’s moderation is a great relief for the technology industry that has been comfortable with the president. Definition, Amazon and many Technology leaders donated millions to install President TrumpHe stood behind him dividing him with positions in January and promised to invest billions of dollars in the United States to support him.
Tim Cook, CEO of Apple, was at the forefront of flirting with Mr. Trump in the industry. He donated a million dollars to install Mr. Trump and then visited the White House later to pledge that Apple would do Apple Spending $ 500 billion in the United States During the next four years.
The strategy repeated Mr. Cook’s tactics during Mr. Trump’s first term. To get rid of requests that Apple start manufacturing its products in the United States instead of China, Mr. Cook planted a personal relationship with the president that helped increase exemptions on the customs tariffs of iPhone, Smartwatches and laptops.
It was not clear whether Mr. Cook could have a similar break this time, and the definitions suggested by Mr. Trump were more severe. With the Trump administration increased its taxes on Chinese goods, Wall Street analysts said that Apple may have to increase the price of iPhone devices from $ 1,000 to more than $ 1,600.
The threat of the high prices of iPhone causes some Americans rushing to Apple stores to buy new phones. Others raced to buy computers and tablets made in China.
Apple did not immediately respond to a request for comment.
IPhone soon became a symbol of extravagance on definitions with China. On Sunday, Trade Minister Howard Lootnick appeared on the “nation of the nation” for CBS and said that the definitions will lead to “an army of millions and millions of people flowing into small small screws to make iPhone devices” in the United States. Mrs. Levitte later this week said that Mr. Trump believes the United States has the resources necessary to make the iPhone for Apple.
“Apple has invested $ 500 billion here in the United States,” she said. “If Apple does not think that the United States can do this, then it may not have made these big changes.”
Apple has faced questions about the transfer of some iPhone manufacturing to the United States for more than a decade. In 2011, President Obama asked Steve JobsThe co -founder of Apple, what is required to make the company’s best -selling product in the United States instead of China. In 2016, Mr. Trump also pressed Apple to change its location.
Mr. Cook remained constant in his commitment to China and said that the United States does not have enough skilled manufacturing workers to compete with China.
“In the United States, you may have a meeting for the tool engineers, and I am not sure that we can fill the room,” he said. Conference in late 2017. “In China, you can fill multiple soccer fields.”
The additional tariff may come on semiconductors and other electronic devices in the next few weeks or months. The administration indicated that it is studying such definitions under a legal law known as section 232, in addition to the other customs tariff for imported drugs.
The president has already used the statute of developing a 25 percent tariff on imported steel, aluminum and cars, and weighs similar steps for imported wood and copper. All of these sectors were granted exemptions from the so -called mutual definitions announced by the President on April 2.
Speaking to journalists the next day, the president said that other definitions of chips will begin “very soon,” adding that the administration was also looking for a customs tariff for medicines. “We will announce this at some point in the near future,” he said. “It is under review now.”
Other definitions applied by the Trump administration were determined by investigations in section 232 by 25 percent – much lower than the 145 percent customs tariffs for many products from China.
Maggie Haberman The reports contributed.
