For a moment, Trump’s tariffs caused the whole world to panic. These tariffs were pretty high, especially for China, which was around 145%. This meant that companies importing from China had to pay more for their products. This includes tech giants such as Apple, which have long relied on China to produce its products. However, Trump changed his heart and put a 90-day pause on his tariff plan. Trump even claimed he was helping the Apple CEO navigate the tariff fallout.
He also announced that devices like smartphones and computers would be exempt (albeit temporarily) from these tariffs. Now, it looks like that “help” is being called into question by Senator Elizabeth Warren.
Senator Warren questions Apple CEO’s Trump tariff exemption deal
Bloomberg obtained a letter from Warren to Apple CEO Tim Cook, in which she questioned how the company managed to obtain tariff exemptions from Trump. “The circumstances surrounding Apple’s exemptions raise fresh concerns about influence-peddling by huge well-connected corporations, and their ability to gain special favors from President Trump.”
Her letter continues, “At best, your work to eliminate the tariffs on Apple products, and President Trump’s subsequent decision to exempt certain Apple products, creates the appearance of impropriety. However, recent reporting also raises serious questions about the extent to which it is possible for massive corporate special interests to use their money and influence to secure tariff exemptions that are unavailable to Main Street small businesses.”
This isn’t the first time Apple’s relationship with Trump has been called into question. Earlier this year, when Trump took office, Apple donated $1 million to Trump’s inauguration fund. Other tech companies also made donations of their own, including Google, Meta, Microsoft, and Amazon, just to name a few. These donations have also been questioned to see whether or not these donations are a way to curry favor with the new US President.
That being said, Trump’s current tariff exemptions are only temporary. Trump initially announced that smartphones and computers would be exempt. However, his administration later clarified that it is temporary and that a tariff plan for semiconductors would be announced later. This would, presumably, be the category these devices fall under.