Seoul, April 14 (SocialNews.XYZ) South Korean smartphone and personal computer makers are staying cautious as unpredictable US tariff policies increase uncertainty around their future production strategies.
On Friday, U.S. President Donald Trump’s administration exempted smartphones, computers and some other electronic devices from country-specific reciprocal tariffs, including the 125 percent levies imposed on Chinese imports.
The move was seen as a temporary relief for U.S. tech giants like Apple Inc., which relies heavily on Chinese suppliers for its iPhones and other products, reports Yonhap news agency.
However, just two days later, Trump seemed to have reversed course, stressing the tariff exclusions on smartphones and computers would be short-lived. He said these products would shift to a different tariff “bucket,” potentially to be replaced by new, yet-to-be-announced sectoral tariffs on semiconductors.
Trump also vowed to launch a national security investigation into the semiconductor industry.
Samsung Electronics, the world’s largest smartphone maker, has not issued an official response to the recent U.S. tariff policies. However, industry insiders have voiced growing concerns over the U.S. administration’s shifting stance.
“We are relieved that smartphones, laptops and PC components were exempted,” said an official from a local company who requested anonymity. “But we must continue monitoring the Trump administration’s next moves.”
Samsung Electronics does not manufacture smartphones in China, but it produces about half of its smartphones in Vietnam, whose exports to the U.S. face 46 percent reciprocal tariffs.
Experts say the exemption may ease short-term fears of declining demand for conventional memory chips, which will be good news for Korean chipmakers, including Samsung Electronics.
Still, they urged South Korean companies to prepare for possible new tariffs on semiconductors.
“It is nearly impossible for Korean firms to plan ahead under such unpredictable U.S. trade policy,” another industry official said. “We will need to stay vigilant and coordinate closely with the government.”
US Commerce Secretary Howard Lutnick said on Sunday the country is set to launch “separate tariffs” for imports of smartphones, computers, semiconductors, and other components in the next one to two months.
Speaking to ABC News, the Commerce Secretary said all those products are going to come under semiconductors, and they’re going to have a special focus type of tariff to make sure that those products get reshored.
—IANS
na/
Source: IANS
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