USA remove tariffs on a series of computing and semi-conductor related products

U.S. Customs and Border Protection released a bulletin late on 11 April 2025 EDT that a series of product categories will be excluded from the 2 April 2025 reciprocal tariff list.

The list of affected products are:

• 8471: Automatic data processing machines and units (e.g., computers, servers).
• 8473.30: Parts and accessories for machines of heading 8471 (e.g., circuit boards, memory modules).
• 8486: Machines and apparatus for the manufacture of semiconductor devices or electronic integrated circuits.
• 8517.13.00: Smartphones.
• 8517.62.00: Machines for the reception, conversion, and transmission or regeneration of voice, images, or other data (e.g., routers, modems).
• 8523.51.00: Semiconductor media, solid-state non-volatile storage devices (e.g., USB flash drives, SD cards).
• 8524: Flat panel display modules, whether or not incorporating touch-sensitive screens.
• 8528.52.00: Monitors capable of directly connecting to and designed for use with an automatic data processing machine of heading 8471.
• 8541.10.00: Diodes, other than photosensitive or light-emitting diodes.
• 8541.21.00: Transistors with a dissipation rate of less than 1 W.
• 8541.29.00: Transistors with a dissipation rate of 1 W or more.
• 8541.30.00: Thyristors, diacs, and triacs, other than photosensitive devices.
• 8541.49.10: Photosensitive semiconductor devices, including photovoltaic cells, whether or not assembled in modules.
• 8541.49.70: Other photosensitive semiconductor devices, including light-emitting diodes (LEDs).
• 8541.49.80: Other optical devices (e.g., optical couplers).
• 8541.49.95: Other semiconductor devices.
• 8541.51.00: Semiconductor-based transducers.
• 8541.59.00: Other semiconductor devices not elsewhere specified.
• 8541.90.00: Parts of diodes, transistors, and similar semiconductor devices.
• 8542: Electronic integrated circuits and microassemblies.

These codes primarily cover electronics, semiconductors, and related components, reflecting products critical to technology and manufacturing sectors.

CSMS # 64724565 – UPDATED GUIDANCE – Reciprocal Tariff Exclusion for Specified Products; April 5, 2025 Effective Date

The purpose of this message is to provide further guidance on the additional duties due on imported merchandise which were imposed by Executive Order 14257, issued April 2, 2025, and published in the Federal Register Notice, ” Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits,” 90 FR 15041 (Apr.

DPA Note: This is likely a combination of both reprieve for the big tech companies that had put their support behind Trump, which the tariffs would hurt these American companies more than China; and the need to allow parts that is required for the building of US manufacturing capabilities for the relevant semiconductors and tech-industry factories.

It is also important to note that, the lifting of the tariff is entire (0% tariff) – and it applies to all countries.

Which means, it is facilitating import of semi-conductors and high tech parts from Taiwan, Singapore, South Korea, etc… not just China.

Just to clarify: China goods are still tariffed at 20% despite this, because the 20% tariff on the fetanyl crisis is not part of the reciprocal tariffs.

According to Grok, below is the estimated percentage of the waived off imports are from:

Based on 2024 trade data and industry reports:

• China: Approximately 25-30% of U.S. imports for electrical and electronic equipment, including semiconductors, come from China. In 2024, U.S. imports from China in this sector were valued at $127.06 billion, a significant portion of the total $485.88 billion for electrical and electronic equipment.
• Taiwan: Around 15-20%, driven by its dominance in semiconductor manufacturing (e.g., TSMC). Taiwan is a major supplier of integrated circuits and microassemblies (e.g., HTSUS 8542).
• South Korea: Roughly 10-15%, with companies like Samsung and SK Hynix supplying memory chips and other components (e.g., HTSUS 8523.51.00, 8542).
• Malaysia: About 5-10%, an emerging hub for semiconductor assembly and testing, particularly for products under HTSUS 8541 and 8542.
• Vietnam: Around 5-8%, growing rapidly as a manufacturing base for electronics like smartphones (HTSUS 8517.13.00) and components, partly due to U.S. firms diversifying from China.
• Japan: Approximately 5-7%, supplying high-tech components and manufacturing equipment (HTSUS 8486).
• Other countries (e.g., Thailand, Philippines, Singapore, Germany, Netherlands): Collectively 15-20%, with smaller but notable contributions. For instance, Thailand and the Philippines are growing in semiconductor packaging, while Germany and the Netherlands supply specialized machinery and components.

These percentages are estimates for the broader electronics and semiconductor categories, as precise data for each HTSUS code varies. For example, smartphones (8517.13.00) may have a higher share from Vietnam and China, while semiconductor machinery (8486) leans toward Japan and the Netherlands.