Trump Clarifies Stance: No Tariff "Exceptions" for Electronics and semiconuductors, Vows Security Probe and New Levies

Following a week of rapid-fire changes and apparent reversals in US trade policy, President Trump asserted on Sunday, April 13th, that key electronics like smartphones and computers and semiconductors are not getting "off the hook" from tariffs, despite recent announcements suggesting otherwise.

Late Friday, April 11th, the administration had granted exclusions for a range of electronics—including smartphones, computers, semiconductor devices, and memory chips—from steep "reciprocal" tariffs that had recently escalated, particularly on goods from China (reaching up to 145% when combined with earlier duties). This move was initially seen as a significant concession to the tech industry and was cautiously welcomed by China.

However, President Trump clarified his position via social media on Sunday, stating there was "no Tariff 'exception'" announced on Friday. He elaborated that these products remain subject to existing 20% tariffs (previously linked to combating fentanyl trafficking) and are merely being moved to a different tariff "bucket".

Crucially, Trump declared, "We are taking a look at Semiconductors and the WHOLE ELECTRONICS SUPPLY CHAIN in the upcoming National Security Tariff Investigations". Administration officials confirmed this, indicating a new probe, likely under Section 232 of the Trade Expansion Act which addresses national security concerns, is imminent. Commerce Secretary Howard Lutnick stated that these electronics and semiconductors would face a new "special focus-type of tariff" within the next "month or two," designed to encourage reshoring of critical manufacturing.

The events of the past few days highlight the continued volatility and complexity of US trade policy under the Trump administration. The apparent whiplash—from granting exemptions on Friday to denying them and announcing new investigations on Sunday—creates significant uncertainty for global supply chains, particularly in the technology sector.

• Shifting Justifications: While initial tariffs were often framed broadly or linked to specific issues like fentanyl, the focus now explicitly includes national security investigations (Section 232) for critical sectors like semiconductors and electronics. This provides a different legal and political basis for imposing tariffs, potentially bypassing some standard trade negotiation frameworks.

• Targeted Pressure: The clarification suggests that while a temporary reprieve from the highest reciprocal tariffs was granted, the underlying pressure on the tech supply chain, especially concerning China, remains intense. The goal appears to be forcing a strategic relocation of manufacturing deemed critical to US national and economic security.

• Economic Impact: Despite the temporary exclusion from reciprocal rates, the confirmation that these goods are still subject to 20% tariffs and face new potential levies means continued cost pressures for importers and potentially consumers. The industry, which relies heavily on global, often China-centric, supply chains for these products, faces a challenging planning environment.

• Messaging vs. Policy: The rapid sequence of announcements, clarifications, and walk-backs makes it difficult to discern the precise long-term policy trajectory. While officials attempt to project calm and strategic intent, the market and industry participants are left navigating a landscape marked by frequent, sometimes seemingly contradictory, shifts.

President Trump is expected to provide further details on Monday. Businesses and international partners will be watching closely to understand the scope and timing of the national security investigation and the specific nature of the forthcoming "special focus" tariffs on electronics and semiconductors.