Chinese Smartphones Escape Trump’s Tariffs; Apple Breathes a Sigh of Relief

Tue, 15 Apr 2025 11:46 | Digital Technology | Editorial INTI

Jakarta, INTI — In a significant policy shift, President Donald Trump has announced that certain electronics, including smartphones and computers imported from China, will be exempt from previously imposed retaliatory tariffs. The decision, made public on Sunday, April 13, provides a welcome reprieve for global tech companies — especially Apple Inc., whose supply chain is heavily concentrated in China.

The U.S. Customs and Border Protection released an updated tariff code list over the weekend, confirming the exclusions. The exemption applies retroactively, effective from 12:01 a.m. EDT, April 5, and includes a 145% tariff rollback on a range of Chinese tech products.

Tech Relief Amid Ongoing Trade Uncertainty

While the broader U.S.–China trade relationship remains fragile, the announcement offers temporary stability for major technology firms. According to Dan Ives, a technology analyst at Wedbush Securities, the weekend move provides “breathing room” for players like Apple, Nvidia, and Microsoft, all of which are deeply embedded in the global electronics supply chain.

“This doesn't end the volatility in U.S.–China trade talks, but for now, the tech sector can move into Monday with less concern,” Ives noted.

The policy update also includes selected electronics from other countries, exempting them from a baseline 10% tariff — a move likely aimed at easing costs for critical imports like Taiwanese semiconductors and iPhones assembled in India.

Apple Dodges a Major Setback

Apple, which had been racing to diversify its manufacturing footprint in response to tariff threats, now finds itself on firmer ground. As reported by Bloomberg, the Trump administration’s latest move shields several of Apple’s core products — including the iPhone, iPad, Mac, Apple Watch, and AirTags — from import penalties.

This development comes shortly after Apple had reportedly chartered cargo flights from India to the U.S., transporting 1.5 million iPhones (600 tons) to mitigate potential disruptions.

“The removal of tariffs on consumer electronics is a massive relief for Apple,” said Amit Daryanani, an analyst at Evercore ISI. He predicted Apple stock could see a bounce back on Monday (April 14) after a tough month in which shares dropped 11%.

Strategic Production Shifts Still on the Table

Even with this exemption, Apple’s long-term strategy appears unchanged — it continues to expand production outside China, especially in India, to reduce its exposure to geopolitical risks.

“The threat of tariffs was inflating input costs. This policy change doesn’t erase that risk entirely, but it does buy Apple more time,” added Daryanani.

As the global electronics industry remains at the center of trade negotiations, this weekend’s developments signal a temporary but impactful win for multinational tech firms navigating a complex geopolitical landscape.