The U.S. trade war with China won’t impact the holiday sales period as much as some analysts had feared.
The United States Trade Representative on Tuesday said it was adjusting the list of items that would be subject to tariffs. Some were removed due to “health, safety, national security and other factors” while others, including many popular consumer goods, saw their tariffs delayed until Dec. 15.
The USTR did not list which items would be removed completely from the list in its initial announcement, but noted that “cell phones, laptop computers, video game consoles, certain toys, computer monitors, and certain items of footwear and clothing” would not be subject to additional fees until the holiday season was nearing completion.
A complete updated list will be published on the group’s Website later Tuesday.
On May 17, the USTR initially published the list of Chinese-imported products that would be subject to an additional 10% tariff. That new tariff is currently scheduled to go into effect on September 1.
While meant to punish China, tariffs typically result in higher retail prices for U.S. consumers. And many of the items on the list of delayed tariffs are popular gifts during the holidays. Additionally, Apple typically releases new iPhones and other hardware in early to mid-September. With this delay, Apple will not have to absorb the cost of those tariffs during the initial sales rush.
Apple stock was up 5% in early trading Tuesday on news of the delays.
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