American importers of Chinese tech goods were made to pay tariffs which amounted to around 32 Billion US Dollars from the mid of 2018 to the end of the year 2021. These tariffs were introduced by the former US President, Donald John Trump. Furthermore, the Biden Administration is working on making considerations on whether or not to eliminate some of these tariffs.
According to the Consumer Technology Association (CTA), due to the tariffs that have been imposed, the technology sector in the US has become less dependent on the People’s Republic of China. However, this has been partially nullified due to the rise in imports from various other nations including Taiwan, Malaysia, Vietnam, South Korea, and more.
The CTA made a statement saying that the payments for about 50% of the 32 Billion US Dollars worth of tariffs were made for computer and electronic items shipped from China. It has also been reported that China’s portion of American tech imports that were subject to tariffs decreased by around half, from about 32% in the year 2017 to just 17% in the year 2021.
Nevertheless, even after having tariffs in place a few of the imports of consumer technology products from China were greater in the year 2021 than they were in the year 2017, which may indicate that some businesses with the desire to boycott China have waned.
As per reports that have come out, the Biden Administration is currently working on deciding on whether or not to lift a few of these tariffs to relieve people in the United States from the impact of high inflation.
According to Ed Brzytwa, who is the Vice President of International Trade at the Consumer Technology Association (CTA), the tariffs were hurting American companies rather than resolving trade issues with China. Ed Brzytwa stated that lifting the tariffs will be beneficial since the price of goods is rising throughout all sectors of the country’s economy, and so it’s necessary to lower the cost of goods and reduce the harm caused by inflation to the people in the US.