Trump Backs Down Again

The Trump administration has decided to exempt a range of consumer electronics including smartphones, laptops, routers, and semiconductor chips from the sweeping “reciprocal” tariffs recently announced against foreign imports, including those from China.

According to newly posted guidance from U.S. Customs and Border Protection, which oversees the collection of import duties, around 20 key tech-related products will be spared from the tariff hikes. This move comes as a significant relief for both consumers and major tech companies, such as Apple, which rely heavily on Chinese manufacturing for their devices. Without the exemption, Americans could have seen noticeable price increases on everyday electronics.

While the current carve-out benefits the electronics sector, administration officials hinted that certain components such as semiconductor chips could still be targeted in upcoming rounds of sector-specific tariffs, leaving the door open to renewed economic pressure in the near future.

Earlier in the month, the White House announced a broad 10 percent baseline tariff on a wide range of foreign goods, alongside much higher “reciprocal” tariffs on products from countries that Trump said have taken advantage of the United States. Facing widespread backlash from the business community and rising fears of inflation, Trump unexpectedly walked back the steeper tariffs, reducing them to 10 percent for a 90-day period to create room for negotiations.

This rollback marked a rare public retreat by the president, signaling growing awareness of the political and economic costs of an all-out trade war. The reduction in tariff rates, however, notably does not extend to China. Goods imported from China remain subject to a harsh tariff regime, including a 125 percent reciprocal rate stacked on top of a 20 percent base levy. That has triggered a tit-for-tat response from Beijing, further deepening tensions between the world’s two largest economies.

Speaking to reporters aboard Air Force One late Friday, Trump expressed cautious optimism about reaching a new trade arrangement with China. He emphasized his personal relationship with Chinese President Xi Jinping as a key reason for hope, even amid rising economic conflict.

“I think something positive is going to come out of it,” Trump said, signaling a potential opening for compromise but also underlining that his administration had stepped back, at least temporarily, in the face of mounting pressure from American consumers and businesses.