US tariffs on Chinese imports would raise cost of electronics for consumers, study finds
US consumers could end up paying quite a bit more for certain electronic products if the Trump administration goes ahead with additional tariffs on Chinese imports, according to a recent study commissioned by the Consumer Technology Association.
The US slapped tariffs on $34 billion worth of Chinese goods last month. An additional $16 billion worth of tariffs are scheduled take effect next week.
The US is considering placing tariffs on other Chinese products too, including tech products and parts, such as printed circuit assemblies and connected devices. This could have a significant impact on consumers.
The study found that prices of connected devices from China will increase by between 8.5 and 22 percent under the proposed tariffs, while prices for these products from all sources will rise between 3.2 and 6.2 percent.
The Consumer Technology Association said in press release:
“The economic impact study shows American shoppers will have to pay between $1.6 billion and $3.2 billion more for connected devices such as gateways, modems, routers, smart speakers, smartwatches and other Bluetooth enabled products,”
Gary Shapiro, CEO and president, CTA, said: “With the economy thriving under President Trump – we’ve seen remarkably low unemployment and a booming stock market – the administration shouldn’t jeopardize America’s global standing with tariffs,”
He added, “Foreign governments don’t pay the cost of tariffs, Americans do – and for that reason, U.S. trade policy needs to steer clear of tariffs that act like taxes on American manufacturers and consumers. The danger we face – the unintended consequence – is that tariffs mean Americans will pay more for all the devices they use every day to access the internet.”