Apple leads tech stock gains after US tariff exemptions

Apple shares jumped over 6% in Frankfurt after the US government announced tariff exemptions on smartphones, computers, and other electronics, mostly imported from China.

Other tech companies also saw gains. Nvidia rose more than 3%, Dell Technologies climbed 6.3%, and ASML gained 2.8%.

Nasdaq futures were up 1.6% during early European trading.

Despite the rally, uncertainty remains. US President Donald Trump said on April 13, that new tariffs on imported semiconductors will be announced within the next week.

🔗 Source: Reuters

🧠 Food for thought

1️⃣ Tariff exemptions represent a major reversal from recent protectionist trends

The current exemptions mark a significant modification to the Trump administration’s earlier tariff approach that began in 2018 with 25% duties on $50 billion of Chinese imports and eventually escalated to affect $110 billion in Chinese goods by 2019 1.

These new exemptions cover approximately $385 billion in 2024 imports (12% of total U.S. imports), with $100 billion coming from China, dramatically reducing the average tax rate on exempted electronics from a potential 145% to just 5% 2.

Smartphones represent the largest exempt category with $41 billion in U.S. imports (81% of all smartphone imports), which would have faced approximately $60 billion in taxes under the previous tariff structure 2.

The strategic shift indicates a move from broad reciprocal tariffs to more targeted sector-focused protectionism, with the remaining 20% China tariff still applying to specific imports 3.

This targeted approach suggests policymakers are recognizing the complex interdependence of global tech supply chains while still maintaining pressure on China in strategic sectors.

2️⃣ Semiconductor sector remains the strategic focus despite consumer electronics relief

While smartphones and consumer electronics received exemptions, President Trump specifically mentioned upcoming semiconductor tariffs, highlighting their continued strategic importance in the U.S.-China trade relationship 4.

The U.S. has already been increasing tariffs on Chinese semiconductors from 25% to 50%, while simultaneously investing $280 billion through the CHIPS and Science Act to boost domestic manufacturing capacity 5.

Major tech companies are responding by reshoring production, with firms like Apple and Intel expanding their U.S. manufacturing capabilities in anticipation of continued trade tensions 6.