Trump introduces customs exceptions

dailyblitz.de 2 months ago

U.S. president Donald Trump's administration has decided to exclude smartphones, computers and another electronic devices from the customs system. This is simply a crucial change in the ongoing trade war that can bring relief to both consumers and large American technology companies.

What changes Trump's decision?

The list of goods subject to customs duties in the course of the trade war excluded, among others:

  • smartphones,
  • laptops,
  • hard drives,
  • memory systems,
  • processors,
  • semiconductor devices.

Most of these products are imported by the United States from China, which this week have been charged even 145 % duties. The decision was announced on Friday by the U.S. Customs Office (US CBP), but without giving circumstantial reasons for this change.

Who will benefit from the abolition of duties?

According to Reuters, the decision may consequence from increasing awareness in the White home that fresh duties could harm American consumers, especially in the case of popular products specified as smartphones or laptops. Large technology companies specified as Apple or Dellwhich import components from China.

Is it just a temporary relief?

Bloomberg points out that the exclusion of electronics from customs duties may be only temporary solutionto avoid double taxation. Certain goods could be subject to both the national rate and the additional 25% sectoral rate for electronics.

It is besides not excluded that in the future the selected products will be imposed lower, separate tariff. This applies especially to semiconductors, for which Trump announced a peculiar tax, but has not introduced it so far.

What's next with the duties on China?

Friday's decision means that smartphones and computers will not be covered The most fresh duties of 125% on China and 10% on the remainder of the world. However, this does not apply to charges introduced in connection with the smuggling of fentanyl (20%).

It is worth reminding that in 2024. The largest part of Chinese exports to the US were smartphones ($41.7 billion) and laptops (33.1 billion) – emphasises Reuters.

Political consequences of decisions

Mutual duties raised concerns about the recession in the US and met with criticism even among Republicans. The organization fears that Trump's tough trade policy may weaken its position before the next election and facilitate Democrats' control of Congress.

Does that mean Trump is softening his policy? For now, it is hard to assess, but the exclusion of electronics from customs suggests that the White home sees the hazard of excessive burden on key sectors of the economy.

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Trump introduces customs exceptions

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