The Trump administration’s proposed 25% tariff on $300 billion in goods imported from China would increase the prices Americans pay for cell phones, laptops, tablets and video game consoles, according to a new study commissioned by the Consumer Technology Association (CTA). If the list 4 tariffs take effect, Americans will pay between $50 and $120 more apiece for many of their favorite technology products.
“Tariffs are taxes, paid by American consumers – and these new tariffs would be a burden on American families just as they start back-to-school shopping,” said Gary Shapiro, president and CEO, CTA. “U.S. consumers, not China, pay the price for tariffs – what more proof does the White House need? It’s time for this administration to put American small businesses, workers and families first and make a deal with China.”
Key findings include:
The cost of cell phones imported from China would increase by 22%, and the average cell phone will cost $70 more for U.S. consumers
The cost of laptops imported from China would increase by 21%, and the average laptop will cost$120 more for U.S. consumers
The cost of tablets imported from China would increase by 21%, and the average tablet will cost about $50 more for U.S. consumers
The cost of video game consoles imported from China would increase by 21%, and the average video game console will cost about $56 more for U.S. consumers
The list 4 tariffs also include connected consumers devices that were not on previous tariff lists, such as fitness activity trackers, smartwatches and wireless earbuds,. U.S. consumers would pay over 6% more for these products, if the tariffs take effect. In addition, the new tariffs would cost more than 2 million U.S. jobs, add more than $2,000 in costs for the average American family of four and reduce the value of U.S. GDP by 1%.
The full study can be found here and CTA’s comments to USTR on list 4 can be found here.
About Consumer Technology Association:
Consumer Technology Association (CTA)TM is the trade association representing the $398 billion U.S. consumer technology industry, which supports more than 18 million U.S. jobs. More than 2,200 companies – 80 percent are small businesses and startups; others are among the world’s best-known brands – enjoy the benefits of CTA membership including policy advocacy, market research, technical education, industry promotion, standards development and the fostering of business and strategic relationships. CTA also owns and produces CES® – the world’s gathering place for all who thrive on the business of consumer technologies. Profits from CES are reinvested into CTA’s industry services.