Trump exempts phones, chips from reciprocal tariffs

United States government has exempted phones, computers and other electronic products from its reciprocal tariffs, in what seems to be an easing of President Donald Trump’s stance. The move also signals a temporary win for companies like Apple and Samsung, which sell foreign-produced gadgets in the US, and were expected to be impacted harshly without these exemptions.

Companies like Apple, which were particularly caught in the crosshairs of the tariff action by Trump, produce a large quantity of their electronics products in China, which was hit with a 125 per cent levy by the US administration following an escalation in tariff rates between Washington and Beijing. However, the fresh exemption means electronic items, including iPhones, will not be impacted by the US tariffs on China, and the baseline 10 per cent levy that has been imposed on other countries.