{"id":6494,"date":"2025-04-13T13:04:54","date_gmt":"2025-04-13T13:04:54","guid":{"rendered":"https:\/\/www.newsmakers.com.pk\/en\/?p=6494"},"modified":"2025-04-13T13:04:57","modified_gmt":"2025-04-13T13:04:57","slug":"iphone-prices-stay-low-as-trump-exempts-smartphones-and-tech-from-china-tariffs","status":"publish","type":"post","link":"https:\/\/www.newsmakers.com.pk\/en\/business\/iphone-prices-stay-low-as-trump-exempts-smartphones-and-tech-from-china-tariffs\/6494\/","title":{"rendered":"iPhone Prices Stay Low as Trump Exempts Smartphones and Tech from China Tariffs"},"content":{"rendered":"\n<p><strong>Web Desk<\/strong>: If you plan to buy a new iPhone or any other smartphone soon, there&#8217;s some good news: prices may not skyrocket after all, thanks to a recent shift in U.S. trade policy.<\/p>\n\n\n\n<p><strong>President Donald Trump has announced new tariff exemptions for key technology imports from China<\/strong>, including smartphones, computers, processing chips, and other essential electronics. These exemptions could help keep iPhone and other smartphone prices more affordable for American consumers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">iPhone Prices Could Have Reached $2,300 Without Tariff Relief<\/h3>\n\n\n\n<p>Earlier projections warned that the price of an iPhone could soar as high as <strong>$2,300<\/strong> due to Trump\u2019s previously planned <strong>54% tariffs on Chinese goods<\/strong>. That number was feared to climb even higher after the Trump administration raised import tariffs to <strong>145%<\/strong> on products from China, the U.S.\u2019s third-largest trading partner.<\/p>\n\n\n\n<p>However, these latest tariff exemptions, announced Friday, are a massive relief for the tech industry.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cThis is a dream scenario for tech, because now, chips, smartphones, computers all get exempt,\u201d said <strong>Daniel Ives<\/strong>, a well-known tech analyst at <strong>Wedbush Securities<\/strong>, in an interview with <strong>USA TODAY<\/strong>.<\/p>\n<\/blockquote>\n\n\n\n<p>Ives emphasized that <strong>major tech companies like Apple, Microsoft, and Nvidia<\/strong> can now \u201cbreathe a sigh of relief.\u201d<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cTrump ultimately had to listen to Silicon Valley and what industry executives were telling him in the White House,\u201d Ives added. \u201cIf they went down this path and didn\u2019t exempt tech, it would have been just dark days ahead.\u201d<\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\">Tech Imports Still Face 20% Fentanyl-Related Tariffs<\/h3>\n\n\n\n<p>While smartphones and chips are now exempt from the <strong>125% tariffs<\/strong>, they remain subject to <strong>an earlier 20% tariff<\/strong> Trump imposed on Chinese imports in response to China\u2019s involvement in fentanyl production. Still, the partial exemption is a win for the industry and consumers alike.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What It Means for Consumers and iPhone Buyers<\/h3>\n\n\n\n<p>\u201cThis is a game changer,\u201d Ives said. \u201cConsumers can breathe a sigh of relief\u2026 You don\u2019t have to rush out to the store. We\u2019re not seeing $2,000 iPhones anymore.\u201d<\/p>\n\n\n\n<p>Apple, which produces the vast majority of its <strong>200 million iPhones annually in China<\/strong>, has already launched the <strong>iPhone 16e<\/strong>, priced at <strong>$699 for the 256GB model<\/strong>, while the premium <strong>iPhone 16 Pro starts at $999<\/strong>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">The Future of Chip Manufacturing and AI Competition<\/h3>\n\n\n\n<p>In response to growing supply chain concerns, tech companies have diversified their chip sourcing to countries like <strong>Taiwan and Mexico<\/strong>. The U.S. government, under both Trump and Biden, has pushed to boost <strong>semiconductor manufacturing<\/strong> on American soil.<\/p>\n\n\n\n<p>Taiwan Semiconductor Manufacturing Co. (TSMC) \u2014 the world\u2019s largest chip maker and a key supplier to Apple and Amazon \u2014 recently announced plans to build <strong>chip factories in the U.S.<\/strong> However, production will take years to ramp up.<\/p>\n\n\n\n<p>Without the tariff exemptions, tech companies would face increased costs for chips, hindering progress in the ongoing <strong>AI revolution<\/strong>.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cThe U.S. tech industry would be taken back a decade, and the AI revolution thesis would have been slowed significantly,\u201d Ives wrote in a note to investors on April 12.<\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\">Tech Stocks Poised to Rally<\/h3>\n\n\n\n<p>With the burden of tariffs eased, <strong>tech stocks are expected to rally<\/strong>, according to Ives.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cIt\u2019s like a weight lifted off tech and the market\u2019s shoulders,\u201d he said.<\/p>\n<\/blockquote>\n\n\n\n<p>This development is not just good news for consumers looking to buy affordable smartphones like the iPhone \u2014 it&#8217;s also a positive signal for the stock market and the broader tech sector.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Web Desk: If you plan to buy a new iPhone or any other smartphone soon, there&#8217;s some good news: prices may not skyrocket after all, thanks to a recent shift in U.S. trade policy. President Donald Trump has announced new tariff exemptions for key technology imports from China, including smartphones, computers, processing chips, and other &hellip;<\/p>\n","protected":false},"author":1,"featured_media":6495,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-6494","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-business"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>iPhone Prices Stay Low as Trump Exempts Smartphones and Tech from China Tariffs<\/title>\n<meta name=\"description\" content=\"Planning to buy a new iPhone? 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