Thursday, July 2, 2026

Semiconductor tariffs loom despite electronics exemption, says US Secretary of Commerce

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While the Trump administration has temporarily exempted certain electronics, including smartphones, computers, and semiconductors, from new tariffs on imports from all countries, US Secretary of Commerce Howard Lutnick stated that tariffs on semiconductors are expected in the coming months to encourage US manufacturing.

“Those products are going to be part of the semiconductor sectoral tariffs, which are coming,” Lutnick said on ABC, adding, “We need to have these things made in America.”

The exemptions, issued by US Customs and Border Protection, cover nearly two dozen product types and aim to maintain America’s supply of critical technologies.

This decision occurs during a trade war with China, where both nations have placed high tariffs on each other’s goods.

The exemptions help tech companies like Apple, Nvidia, and Dell avoid price increases for consumers, but a 20% tariff tied to China’s role in the fentanyl trade still applies to electronics.

The administration is also preparing a national security investigation into semiconductors, which could lead to additional tariffs on electronics using these components.

White House spokeswoman Karoline Leavitt said the exemptions support President Trump’s goal to reduce reliance on China for critical technologies and boost domestic production.

However, critics like Sen. Elizabeth Warren argue that the exemptions benefit large corporations while leaving smaller businesses to face tariff costs.

(With input from agencies)Also Read: Trump’s tariff pause sparked by bond market turmoil, says former White House advisor

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