US Commerce Secretary says tariff exemptions on electronics and pharmaceuticals are temporary

US Commerce Secretary Howard Lutnick said that recent tariff exemptions by the Trump administration on some electronics and pharmaceuticals would only be temporary.

In an interview with ABC News, he emphasised that it would not be “like a permanent sort of exemption,” adding that that tariffs on semiconductors and pharmaceuticals “are coming in the next month or two.”

“We need to have semiconductors, we need to have chips, and we need to have flat panels, we need to have these things made in America. We can’t be reliant on Southeast Asia for all of the things that operate for us,” said Lutnick.

The Trump administration said late on Friday that it would exclude electronics like smartphones and laptops from reciprocal tariffs, a move that could help keep the prices down for popular consumer electronics that aren’t usually made in the US.

The exemptions would benefit American tech giants like Apple, which has 90% of its iPhone production and assembly based in China, according to Wedbush Securities.

A notice shared by US Customs and Border Protection said the exemption also applies to the 145% tariffs imposed on Chinese imports, and includes other electronic devices and components, including semiconductors, solar cells and memory cards.

It’s the latest tariff change by the Trump administration, which has made several U-turns in their massive plan to put tariffs in place on goods from most countries.

Speaking to reporters on Air Force One on Saturday, Trump said he’ll comment further on the exemptions on Monday. “We’ll be very specific on Monday. But we’re taking in a lot of money as a country. We’re taking in a lot of money.”