US President Donald Trump plans to radically change the rules of the game for the technology market: he promises to introduce a 100% tariff on imported computer chips if companies do not start manufacturing them on American soil. This step could raise prices for smartphones, televisions, and even cars. This is reported by UNN with reference to AP.
Details
Trump announced his intention to impose a 100% tariff on imported computer chips – a key component for electronics, cars, and home appliances. According to him, there is only one exception: companies that will produce chips directly in the US will pay nothing.
We will make an exception only for those who invest in production in America itself
This loud statement came a few months after Trump temporarily lifted some tariffs on consumer electronics. Now he is betting on strong economic pressure to force large technology companies to return production to their homeland.
Major market players, such as Apple, have already invested significant funds – a total of more than $1.5 trillion – in expanding their presence in the US. Apple recently added another $100 billion to its promise to invest in American infrastructure.
After Trump's statements, Apple shares rose by 8%, and Nvidia and Intel also saw growth – companies that have also intensified their activities in the US.
However, critics warn: a sharp increase in tariffs could lead to higher prices for consumers. Moreover, such a policy contradicts the approach of the Biden administration, which encouraged chip production through financial incentives, rather than through tariff pressure.
Recall
On August 1, as part of US President Donald Trump's customs policy, the White House announced that the "universal" tariff on goods imported into the country would remain at 10%. That is, at the same level that was introduced on April 2. At the same time, a 15% rate will become the new minimum tariff for countries with which the US has a trade deficit.
Apple will additionally invest $100 billion in expanding its operations in the United States of America.