Trump: Semiconductor tariffs coming, but ‘You have to show a certain flexibility’
President Trump said Sunday that he would be announcing tariffs on semiconductors soon, though he suggested there could be exceptions for certain products.
“The tariffs will be in place in the not distant future. Because, as you know, like we did with steel, like we did with automobiles, like we did with aluminum, which are now fully on, we'll be doing that with semiconductors, with chips and numerous other things,” Trump told reporters aboard Air Force One.
“And that'll take place in the very near future.”
The goal, Trump said, is to incentivize companies to make their products in the United States. But experts have warned that could be a lengthy process and that the price of electronics could go up for consumers.
Asked if certain products like iPhones and tablets would be tariffed, Trump said he would be discussing it with companies.
"You know, you have to show a certain flexibility. Nobody should be so rigid. We have to have a certain flexibility. And we're doing really well. And financially, our country is going to be stronger than it's ever been," Trump said.
Trump would not say which products this flexibility might apply to.
Customs and Border Protection, which handles the collection of tariffs, posted a notice late Friday that certain electronics would be exempted from “reciprocal” tariffs imposed on other nations, including China.
Trump and other administration officials said earlier Sunday that those exemptions were only temporary, and that those products would be subject to the upcoming semiconductor tariffs.
The initial exemptions appeared to be a break for consumers, who were facing the possibility of paying higher prices on electronics because of steep tariffs imposed on China. It was also an apparent win for companies like Apple, which manufactures many of its products in China.
The decision to exempt certain products only to add tariffs on them later could also add to the confusion around the Trump administration’s rollout of its tariff policy.
Trump shrugged off the idea that there was any ambiguity that might scare the markets at Monday's opening.
"We have a tremendous country," he said on Air Force One. "We have a country that's much richer today than it was a few months ago. We have a financial system that's very respected."