# New US tariffs could drive smartphone prices even higher Additional duties on chips and electronics may hit consumers hard. - **Source:** [Android Authority](https://brifing.si/source/01374d39-7ab2-4795-8e0a-444a0e7b4327) - **Published:** 2026-08-27 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/d958cf2b-dfb1-4dfa-a853-93ecc0dc4a2d ## Scope of the new tax plan The US government is considering new tariffs not only on foreign chips but also on consumer electronics that use these components. Laptops, gaming consoles, and likely smartphones would be affected. According to Politico, the proposal under review by the Trump administration would significantly expand previous duties. This move has the potential to impact nearly all modern hardware devices. ## Exemptions for manufacturing investments Foreign companies investing in US manufacturing might receive tariff exemptions. However, since building new facilities takes years, short-term price relief seems unlikely. This could lead to sudden price increases in consumer electronics. Amazon has previously issued refunds to consumers during similar tariff hikes. ## Additional pressure on RAM crisis These new tariffs, combined with rising RAM and storage costs driven by AI demand, could push retail prices above current levels. Price increases are expected across virtually all chip-containing devices, including smartwatches, earbuds, and other smart gadgets. ## Regulatory uncertainty The exact framework of the proposed tariff structure remains unclear. While laptops and gaming consoles are confirmed targets, phones and accessories might also be affected if the rules are broadly interpreted. This uncertainty makes planning difficult for electronics manufacturers. ## Supply chain impact Global supply chains are already strained by pandemic and geopolitical tensions. New tariffs would mean additional costs for Asia-based electronics manufacturers. This might push some companies to diversify production locations, though such strategic shifts take time. ## Consumer repercussions Electronics retailers will likely pass increased costs to consumers. More significant price hikes may be visible in premium segment products. Some consumers might delay new purchases or turn to the second-hand market. ## Global trade tensions This move could spark new tensions in US trade relations. Reactions from electronics manufacturing hubs like China, Taiwan, and South Korea will be particularly important. These tariffs might become part of broader trade wars, potentially altering long-term industry dynamics. ## Long-term consequences The new tariff policy could reshape production and supply strategies in the electronics industry. Companies may accelerate localization efforts, though this transition would be costly and time-consuming. Consumers might face higher prices and potential product shortages in the long run. ## Sources covering this story - https://www.androidauthority.com/us-semiconductor-tariffs-consumer-electronics-proposal-3703912/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._