The White House celebrated the announcement, stating it is “the Trump Effect in action.”
- “The reason they did it is because of the election on November 5 and because of a thing called tariffs,” he told reporters
- Trump has threatened a 32 percent tariff on products and goods from Taiwan, where many of Nvidia’s products are typically made
- but paused his new tariffs for 90 days for all countries except China.
- The Trump administration said
Friday that electronics such as phones, computers, routers and semiconductor chips would be exempt from the “reciprocal” tariffs imposed on other nations, including China.
- But two days later,
the administration clarified the exemption is only a temporary measure.
- Trump followed this up Sunday evening, stating he would announce tariffs on semiconductors soon.
Tariffs are enacted, no tariffs will have product exemptions, tariffs are paused, tariffs arent really paused since all have a 10% tariff, some products will now be exempt, China didnt have any paused tariffs, China will be included in some product exemptions, the exemptions are temporary, one tariff exemption will soon change.
Holy hell, that makes me dizzy to even recap. Thats all in the last week!
In reality, the NVIDIA CEO paid $1MM to have dinner at Mar-a-Lago(how is this not illegal?) and talked Trump Administration into not placing additional restrictions on an NVIDIA chip that could be sold to China.
This was agreed to because NVIDIA promised to invest in US based AI data centers.
Meanwhile, multiple lawmakers had been trying to get Trump to increase the chip ban restrictions to help stifle China. Trump agreed to give China MORE chips that are better than much of what they can produce domestically.
- NVIDIA pays $1MM for a dinner.
- NVIDIA gets to make money by selling China chips that were close to being banned.
- NVIDIA agrees to some domestic data centers...which will make them money.
- China gets chips they desperately need.
Try to square all that with how dangerous Trump claims China is.
That is the Trump Effect
inaction.