Trump Exempts Tariffs on Tech

In the latest chapter of the Trump administration’s shifting tariff policy, US officials on Friday issued updated guidelines exempting a range of tech products—including laptops, smartphones, and semiconductor manufacturing equipment—from the latest wave of reciprocal tariffs.

The exclusions also cover items like solar cells, flash drives, flat-panel displays, and memory cards.

While the exemptions provide short-term relief for major tech firms, the administration has left the door open to future duties.

China’s Ministry of Commerce responded cautiously, calling the move “a small step” toward correcting what it views as Washington’s flawed strategy of unilateral tariffs.

Beijing reiterated its criticism, accusing the US of “disrupting the international economic and trade order” and pursuing policies that “harm others without benefiting itself.

It also called on the US to:

“Take a significant step towards rectification, completely abandon the erroneous ‘reciprocal tariffs’, and return to the right path of mutual respect and resolving differences through equal dialogue.”

Tech Giants Feel the Heat from 145% Tariffs

The tariff exemptions offer temporary relief to companies like Apple, which relies heavily on Chinese manufacturing—over 90% of its products, including iPads and Macs, are assembled there.

Without these carve-outs, Apple may have been forced to raise US iPhone prices by as much as 85% to protect profit margins.

In anticipation of potential tariffs, the company had already scrambled to charter flights from India to fast-track shipments of millions of iPhones.

The Economic Times of India wrote:

“Apple’s relationship with China, where it makes up to nine out of ten of its iPhones, turned Donald Trump’s so-called “Liberation Day” into six days of hell for the tech company.”

Meanwhile, viral memes mocking America’s manufacturing ambitions highlight a deeper truth: reindustrialisation is not an overnight fix.

Critics of Trump’s tariff strategy, including political commentator Ed Krassenstein, continue to question its practicality and long-term vision:

“It’s almost getting comical at this point. Trump literally said there would be “no exemptions” to his reciprocal tariffs and MAGA cheered… Now, suddenly he’s backtracking again and adding a bunch of exemptions to his reciprocal tariffs. And MAGA is cheering yet again.”

Political commentator Keith Olbermann also chimed in.

Tariff Exemptions for Electronics Are Temporary, Says Trump’s Commerce Secretary

Commerce Secretary Howard Lutnick recently clarified that the reciprocal tariff exemption on select electronics, announced in an 12 April bulletin by US Customs and Border Protection, is only temporary.

Speaking on ABC News, Lutnick explained that the exemption would last until the administration implements a sector-specific tariff regime for semiconductor products—covering items like phones, graphics processors, and computing chips—in the next month or two.

Despite this, White House officials, including President Trump, downplayed the significance of these exemptions, which ease but do not eliminate the impact of tariffs on popular consumer devices and their components.

Lutnick told ABC’s “This Week” on Sunday:

“They’re exempt from the reciprocal tariffs but they’re included in the semiconductor tariffs, which are coming in probably a month or two.”

Lutnick added:

"President Trump has called out pharmaceuticals, semiconductors, and autos. He called them sector tariffs, and those are not available for negotiation. They are just going to be part of making sure we ensure core national security items are made in this country. We can't be relying on China for fundamental things we need. Our medicines and our semiconductors need to be built in America."

Trump further complicated the narrative by stating on social media that there was no “exception” at all, as goods would simply shift to a different tariff category and still face a 20% duty due to China’s role in fentanyl trafficking.

This focus on national security and reshoring critical industries suggests that the administration may be positioning these tariffs as a long-term geopolitical strategy, rather than a short-term tactic to improve US exports, as some analysts have speculated.

Critics Voice Concern Over Trump’s Constant Tariff Backpedaling

An exemption for electronics would have provided much-needed relief for the tech sector, potentially lifting a significant cloud of uncertainty hanging over US Big Tech, noted Wedbush analyst Dan Ives in a recent research update.

However, after Lutnick's comments on Sunday, Ives revised his assessment, describing the conflicting signals from the White House as “dizzying” for both the industry and investors.

This confusion is creating “massive uncertainty and chaos” for companies trying to manage their supply chains, inventory, and demand.

Market strategist Sven Henrich, founder of NorthmanTrader, offered a sharp critique of the administration’s handling of the tariff situation, expressing frustration over the lack of clarity.

Meanwhile, US Senator Elizabeth Warren, a Democrat, joined the chorus of critics, warning that the latest changes to Trump’s tariff plan could hinder economic growth and drive inflation, as economists have long cautioned.

Crypto Markets Goes Green Again But Barely

Crypto markets responded positively to the news, with Bitcoin surging to $86,000 for the first time since "Liberation Day" on 2 April.

It is currently trading at $84,133.91, according to CoinMarketCap.

Most altcoins also experienced a slight uptick, though their gains over the past 24 hours were under 0.5%.

As we head into the new week, anticipation (and anxiety) builds for the next phase of tariff actions—potentially setting the stage for more market volatility.

How many times will Trump backpedal on his tariffs “strategy?