President Trump clarified that electronics are not exempt from his new tariffs, as he redoubled his promise to end "unfair" trade policies once and for all.
The president confirmed that America's trading partners are not "off the hook" after his administration seemed to back away from targeting products like smartphones imported largely from China.
Trump's reversal caused the stock market to rally Monday as confidence in tech stocks rebounded. Companies like Apple are largely reliant on supply chains based in Asia, especially China.
The White House had initially announced Friday that products such as laptops, computer chips, and smartphones would not be subject to his sweeping "reciprocal tariffs."
The initial reports sowed some confusion, given that electronics make up a large share of trade between the U.S. and China.
Over the weekend, Trump aides went on TV to explain that the exemption is temporary, a message later amplified by Trump on his social media platform.
"NOBODY is getting 'off the hook' for the unfair Trade Balances, and Non Monetary Tariff Barriers, that other Countries have used against us, especially not China which, by far, treats us the worst! There was no Tariff 'exception' announced on Friday. These products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff 'bucket,'" Trump said.
Trump has also paused most of his reciprocal tariffs for 90 days, although he is still levying steep tariffs of 10% on all imports and 145% on Chinese goods.
America depends on semiconductor chips from China, which has raised national security concerns. Trump said electronics will be subject to a separate tariff as his administration launches an investigation.
"We are taking a look at Semiconductors and the WHOLE ELECTRONICS SUPPLY CHAIN in the upcoming National Security Tariff Investigations," Trump wrote in his post.
"What has been exposed is that we need to make products in the United States, and that we will not be held hostage by other Countries, especially hostile trading Nations like China, which will do everything within its power to disrespect the American People. We also cannot let them continue to abuse us on Trade, like they have for decades, THOSE DAYS ARE OVER!"
"The Golden Age of America, which includes the upcoming Tax and Regulation Cuts, a substantial amount of which was just approved by the House and Senate, will mean more and better paying Jobs, making products in our Nation, and treating other Countries, in particular China, the same way they have treated us."
