New York, NY – US officials have revealed that the exemption of smartphones, laptops, and other electronic products from import tariffs on China will not last long, with President Donald Trump issuing a warning that there will be no escape for anyone involved. Trump took to his social media platform over the weekend to clarify that the exemption was not a permanent one and that these products would still be subjected to tariffs, just in a different category.
Following the announcement of the exemption by the White House, US stock markets were anticipated to make a recovery. Shares of tech giants like Apple and Nvidia were expected to see a surge after tariffs on their imported products from China were lifted for a period of 90 days. However, Trump’s Commerce Secretary, Howard Lutnick, has indicated that critical technology products from China, including semiconductors, will face new duties within the next two months.
In response to the US actions, China’s Commerce Ministry criticized the US for its reciprocal tariffs and called for the cancellation of the entire tariff regime. Meanwhile, Chinese President Xi Jinping emphasized the negative impacts of protectionism and the futility of engaging in a trade war, stating that there are no winners in such conflicts.
The ongoing trade tensions between the two largest economies in the world have resulted in dramatic swings on Wall Street, with the S&P 500 index experiencing substantial declines since the imposition of tariffs by Trump. The unpredictability of Trump’s tariff policies has led to concerns among economists about potential impacts on economic growth and inflation.
As the trade war between the US and China escalates, China has been exploring stronger relations with neighboring countries. Xi Jinping’s upcoming visit to Vietnam as part of a tour of southeast Asia reflects China’s efforts to navigate the complexities of international trade dynamics amidst the ongoing dispute with the US. With global markets closely monitoring the developments between the two economic giants, the future of international trade remains uncertain.