Following the announcement of President Donald Trump’s “reciprocal” tariffs on April 2, the administration has clarified that certain electronic devices will be excluded.
A notice posted late Friday stated that exemptions would apply to specific electronics, including smartphones, laptops, hard drives, flat-panel monitors, and machinery used for producing semiconductors and some chips. This exemption is retroactive, covering products entering the U.S. or being removed from warehouses from April 5 onward.
This adjustment allows these products to avoid the substantial “reciprocal” tariffs on China, where Apple has primarily manufactured its iPhones since its inception 18 years ago. However, Stephen Miller, Trump’s Deputy Chief of Staff for Policy, stated on Saturday that these electronics remain “subject to the tariff under the original IEEPA on China of 20 percent.”
The tariffs, prior to the exemption, could have significantly impacted the cost of electronics and, consequently, affected major tech companies like Apple, Microsoft, Nvidia, and Samsung, given their reliance on supply chains based in China and other international locations. Experts had predicted that the tariffs could have increased the price of iPhones for U.S. consumers, particularly if manufactured in the U.S.
Trump has previously urged tech companies to relocate their operations and manufacturing to the U.S., highlighting one company’s plan to invest $500 billion in the U.S. over the next four years.
In a , Trump encouraged companies to move to the U.S., stating, “This is a GREAT time to move your COMPANY into the United States of America, like Apple, and so many others, in record numbers, are doing. ZERO TARIFFS, and almost immediate Electrical/Energy hook ups and approvals. No Environmental Delays. DON’T WAIT, DO IT NOW!”
However, as the points out, Apple’s operations are globally integrated. While iPhones are designed in California, their assembly occurs in China and India, with components sourced from various international suppliers.
The exemption announcement followed Trump’s while speaking to reporters on Air Force One on Friday. “There could be a couple of exceptions for obvious reasons, but I would say 10% is a floor,” Trump stated, without specifying the reasons.
Experts have voiced concerns about the potential impact of Trump’s tariffs on consumers, anticipating price increases. Notably, China was the second-largest supplier of U.S. goods in 2024, according to . (Mexico was the largest.) China is a major supplier of to the U.S.
This exemption represents the latest shift in Trump’s tariff strategy. U.S. and global stock markets declined, leading to , after Trump announced the “reciprocal” tariffs on April 2, which he termed “Liberation Day.” However, on April 9, Trump announced a 90-day suspension of most “reciprocal” tariffs, excluding China, which faces substantially higher import taxes. Tariffs on Chinese goods now total 145%—a 125% “reciprocal” tariff combined with a on most goods, as a penalty for the flow of fentanyl into the United States. In response, China has increased tariffs on American goods to 125%.