Donald Trump’s Proposed Tariffs Could Raise Consumer Electronics Prices By Up To 40%, Especially For Products Imported From China
A new report by CTA has disclosed that Donald Trump's proposed tariffs can raise the prices of consumer hardware products by as much as 40%.
Trump's Tariff Plans Aim at Reducing US Dependency On Other Countries, But The Policy Won't Be Sustainable In The Longer Run
With the US elections drawing closer and the markets factoring in a potential Trump victory, discussions surrounding his proposed economic plan have risen. Apart from the ones that influence other market sectors, a policy that might potentially disrupt consumer markets is the implementation of harsh tariffs. This is an attempt by Trump to promote in-house production and sales of consumer products rather than relying on external sources. While this might promote industrialization, the ultimate price will be paid by consumers, as revealed by CTA's findings.
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Trump's tariff proposal includes a 10% tariff on imports from other than China, while a 60% tariff on imports from China, and for the consumer hardware segment in particular, this isn't good news at all since China holds a fair share in US markets when it comes to the PC hardware industry. The TRW (Trade Partnership Worldwide) and CTA findings reveal that the products to see a larger impact include phones, laptops and tables, connected devices, video game consoles, and computer accessories.
Considering that Donald Trump joined The White House and implemented the tariffs, we are looking at a wide-scale increase in consumer technology pricing, which would not only hinder their adoption but would actually drive away the interest of manufacturers in the region, ultimately proving to be a rather un-constructive decision of the US economy. Experts have different opinions of how the tariffs can play out, but they unanimously agree that it will discourage consumers from acquiring market products, hindering businesses.
Reports of a tariff
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