Trump administration will not spare electronic products from tariffs, says US Commerce Secretary

U.S. Commerce Secretary Howard Lutnick announced that electronics, specifically semiconductors, will face new tariffs within a month, followed by pharmaceutical tariffs. This decision contrasts with recent temporary exemptions for smartphones and ...

Next on Trump’s Radar - Chips and Iphones & RBI’s ₹3.5 lakh cr lifeline to Govt
Electronic products will be included in the Trump administration’s upcoming sector-specific tariffs, U.S. Commerce Secretary Howard Lutnick said in an interview with ABC News on Sunday.

“Electronics products will be part of upcoming sectoral tariffs,” Lutnick was quoted as saying.

He clarified that electronic goods would fall under the semiconductors category and would be subject to “special tariffs coming soon.”


According to Lutnick, semiconductor and electronics tariffs will be implemented within a month, while pharmaceutical tariffs are expected in the next month or two.

""We can't be relying on China for fundamental things that we need: our medicines and our semiconductors need to be built in America," Howard Lutnick told ABC news.

The announcement follows a recent move by the administration that appeared to temporarily spare the electronics sector.
ADVERTISEMENT

Trump admin backtracks from previous respite

U.S. Customs and Border Protection had published exemptions from the proposed 125% reciprocal tariffs on Chinese imports, specifically excluding smartphones, laptops, and a range of other electronic products, Bloomberg reported on Saturday.

The exclusions were intended to protect consumers from price shocks and to mitigate inflationary concerns, Bloomberg noted.

Among the products exempted were smartphones, hard drives, processors, memory chips, and semiconductor manufacturing equipment — items that are largely not produced in the United States and would take years to establish domestically.

The exemption list was seen as a major benefit to companies like Apple, Samsung, and Taiwan Semiconductor Manufacturing Co., which has pledged major investments in U.S.-based chip facilities.
ADVERTISEMENT

However, Bloomberg also reported that these exemptions might only offer temporary relief, with more targeted tariffs likely being developed behind the scenes.

While semiconductors have been singled out by former President Trump for new tariff measures, no specific rate had been finalised as of yet.
ADVERTISEMENT

The administration’s sectoral tariffs have so far been set at 25%, but the exact figure for electronics and chips remains uncertain.
Download
The Economic Times Business News App
for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App
for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
READ MORE
ADVERTISEMENT

READ MORE:

LOGIN & CLAIM

50 TIMESPOINTS

More from our Partners

Loading next story
Business News › News › International › Global Trends › Trump administration will not spare electronic products from tariffs, says US Commerce Secretary
Text Size:AAA
Success
This article has been saved

*

+