Trump, Semiconductor·Smartphone mutual tariff exemption…Separate high tariff announced
President Trump utilizing reciprocal tariff exemption strategy for some items (Source: FT)
President Donald Trump of the United States has exempted some electronic products from reciprocal tariffs, providing a temporary reprieve for major global technology companies like Apple and Samsung Electronics. However, there remains high tension in the industry as there is a high possibility that separate high tariffs will be imposed on critical technology items such as semiconductors in the future.
On the 12th (local time), the U.S. Customs and Border Protection (CBP) announced through the 'Notice of Reciprocal Tariff Exemption for Certain Items' that smartphones, laptops, computer processors, memory chips, semiconductor equipment, etc., would be excluded from reciprocal tariff targets. This measure means these items will be removed from the 125% reciprocal tariff imposed on Chinese imports. CBP stated that this exemption was effective from 0:01 a.m. on the 10th.
Previously, the Trump administration had announced the exclusion of semiconductors and pharmaceuticals from the reciprocal tariff targets, which is interpreted as intending to switch to individual tariffs by item. In fact, President Trump has mentioned that the introduction of tariffs on semiconductors will happen "very soon."
On this day, White House spokesperson Caroline Levitt stated in a statement, “President Trump believes that dependence on China should be reduced for key technologies such as smartphones and semiconductors,” and “These items will be included in a separate tariff system, and the results of the Section 232 investigation on semiconductors will be announced soon.”
Section 232 of the Trade Expansion Act is a law that allows the president to directly impose import restrictions if foreign products pose a threat to U.S. security. Based on this, Trump has already imposed a 25% tariff on each of steel and automobiles.
Due to this announcement, the electronics industry is able to maintain price competitiveness through a temporary tariff exemption, but there still exists mid- to long-term uncertainty with the possibility of a 'separate high tariff.' In particular, global technology companies with a high dependence on semiconductor supply chains and China are closely monitoring the direction of tariff policy.
Meanwhile, the U.S. is currently maintaining a 125% reciprocal tariff on Chinese imports and imposing a 10% basic tariff on other countries. A 90-day reciprocal tariff suspension measure has been applied to countries other than China since the 9th. However, it has not yet been clearly confirmed whether the existing 20% general tariff on Chinese products has also been exempted.
Some analysts suggest that this U.S. measure might be the beginning of a 'customized' measure designed to protect its technology industry while reducing concerns about global supply chain disruptions.