President Donald Trump's administration has granted exemptions from steep tariffs on smartphones, laptops, and other electronics, providing relief to tech giants like Apple and Dell. 

Announced on 5 April 2025 by US Customs and Border Protection, the exemptions cover 20 product categories, including semiconductors, and exclude these goods from Trump's 10% baseline tariffs on non-Chinese imports, easing costs for items like iPhones made in India. 

Wedbush Securities analyst Dan Ives hailed the move as 'the most bullish news' for the tech sector, coinciding with efforts by companies like Apple, which has shipped 1.5 million iPhones from India to sidestep tariffs.

However, the exemptions don't fully shield tech from Trump's trade war. His 125% reciprocal tariffs on Chinese imports remain, alongside earlier 20% duties tied to the fentanyl crisis, and a new national security probe into semiconductors looms. 

Trump, speaking on 9 April, teased more details while claiming the US is reaping tariff revenue, but the decision hints at his awareness of inflation risks, with iPhone prices potentially hitting$2,300 under full tariffs. 

The partial reprieve reflects Trump's balancing act between trade promises and economic stability, especially after his campaign focused on lowering prices amid inflation concerns.

The backdrop is a volatile global market, with China retaliating by matching Trump's 125% tariffs, sending US stocks on a rollercoaster and pushing gold to record highs. 

Trump's cosy ties with tech CEOs like Apple's Tim Cook, who have embraced him since his 20 January inauguration, contrast with his tariff-driven agenda, which has sparked recession fears and Republican criticism ahead of next year's midterms. 

The exemptions offer tech a breather, but the broader US-China trade conflict threatens supply chains and global stability. 

This tariff carve-out underscores Trump's high-stakes gamble: reshaping trade to favour American interests while risking economic fallout at home. 

With smartphones and laptops leading US imports from China at$41.7 billion and$33.1 billion in 2024, the exemptions may temper consumer price hikes, but the looming semiconductor probe and escalating tensions signal more turbulence ahead. 

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