President Donald Trump has renewed his push for steep semiconductor tariffs, warning they will arrive soon. He made the remarks during a White House dinner with major tech CEOs, including Apple’s Tim Cook. While the president did not provide clear details, he hinted that companies at the table—Apple among them—would be exempt from the sweeping tariffs.
Trump first floated the tariff idea in April and promised an announcement by mid-August. He suggested rates could climb as high as 100%, a dramatic jump from earlier chip tariffs that ranged between 2% and 5%.
National Security Angle
The White House linked the tariffs to a national security probe into the use of foreign processors. Officials argue that raising costs on imported chips would reduce security risks. However, the decision to impose tariffs came before the probe concluded, raising doubts about whether security is the driving factor.
Why Apple Is Safe
Apple appears to have secured an exemption. In August, Trump said companies making “Made in America” investments would not face charges. Apple fits that category after pledging $600 billion toward U.S. manufacturing, even though most of its iPhones are still assembled abroad.
Much of Apple’s spending does not involve building new factories but includes partnerships and expansions tied loosely to U.S. production. Still, the administration seems satisfied, signaling that Apple’s products, including the upcoming iPhone 17, will avoid new costs.
Market Implications
For consumers, the exemption likely means iPhone prices will stay steady despite the threat of global tariffs. Competitors without U.S. investments may not be as lucky, potentially facing significant hikes. For Apple, the exemption strengthens its ability to maintain margins while avoiding consumer backlash during an already competitive smartphone cycle.
As tariff plans move forward, the tech industry will watch closely. For now, Apple appears to have protected both its customers and its bottom line.
