Trump Administration Sets Strategic Plan for Technology Industry Localization
The White House strategy reflects a delicate balance between enhancing national security policies and protecting the interests of American technology companies that depend on China for manufacturing
April 12, 2025, 9:19 pm

Trump Administration Sets Strategic Plan for Technology Industry Localization

The White House declared on Saturday that the United States can no longer continue to rely on China in sensitive technological sectors, emphasizing the need to strengthen national security by reducing dependence on external supply chains, especially in the fields of semiconductors, artificial intelligence, and clean energy.

The White House stressed that U.S. President Donald Trump considers localizing American industries a top priority, seeking to stimulate innovation and provide local job opportunities.

New guidelines issued by U.S. Customs and Border Protection indicated that President Donald Trump has excluded smartphones, computers, and a range of other technological devices and components from the punitive tariffs he previously imposed.

These instructions were issued Friday evening, after Trump earlier this month applied 145% tariffs on Chinese products, a measure that threatened to inflict heavy losses on major technology companies such as Apple, which manufactures iPhones and most of its other products in China.

The directives also include exemptions for various electronic equipment and components, including semiconductors, solar cells, flat-screen televisions, flash drives, and memory cards.

The White House stated in a release issued Saturday that these exemptions were issued because President Trump wants to give companies sufficient time to shift their manufacturing operations to within the United States.

It quoted Kush Desai, Deputy White House Press Secretary, as saying that Trump "has made it clear that America cannot rely on China to manufacture vital technologies such as semiconductors, chips, smartphones, and laptops."

Desai added: "At the President's direction, these companies are now rushing to move manufacturing operations to within the United States as soon as possible."

According to customs directives, the 20 product categories mentioned in the document appear to be exempt from the 125% tariffs imposed by Trump on Chinese imports, as well as from the basic 10% tariffs on imports from other countries, while a 20% tariff remains effective on all Chinese goods.

CNBC reported that it had asked the White House and Customs to clarify the final effective rate of tariffs applied to exempted products, but had not received a definitive response as of yet.

These exemptions represent an important gain for technology companies like Apple, which produces the majority of its products in China, where 80% of iPads and more than half of Mac devices are manufactured, according to research firm Evercore ISI.

Dan Ives, Head of Global Technology Research at Wedbush Securities, described this move as "the perfect scenario for technology investors," adding: "Exempting smartphones and electronic chips is a major game-changer regarding tariffs imposed on China."

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, has sponsored the BuildHer CityHack 2025 Hackathon, a two-day event spearheaded by the College of Engineering and Technology at the Royal University for Women (RUW).
Aimed at secondary school students, the event brought together a distinguished group of academic professionals and technology experts to mentor and inspire young participants.
More than 100 high school students from across the Kingdom of Bahrain took part in the hackathon, which featured an intensive programme of training workshops and hands-on sessions. These activities were tailored to enhance participants’ critical thinking, collaborative problem-solving, and team-building capabilities, while also encouraging the development of practical and sustainable solutions to contemporary challenges using modern technological tools.
BENEFIT’s Chief Executive Mr. Abdulwahed AlJanahi, commented: “Our support for this educational hackathon reflects our long-term strategic vision to nurture the talents of emerging national youth and empower the next generation of accomplished female leaders in technology. By fostering creativity and innovation, we aim to contribute meaningfully to Bahrain’s comprehensive development goals and align with the aspirations outlined in the Kingdom’s Vision 2030—an ambition in which BENEFIT plays a central role.”
Professor Riyadh Yousif Hamzah, President of the Royal University for Women, commented: “This initiative reflects our commitment to advancing women in STEM fields. We're cultivating a generation of creative, solution-driven female leaders who will drive national development. Our partnership with BENEFIT exemplifies the powerful synergy between academia and private sector in supporting educational innovation.”
Hanan Abdulla Hasan, Senior Manager, PR & Communication at BENEFIT, said: “We are honoured to collaborate with RUW in supporting this remarkable technology-focused event. It highlights our commitment to social responsibility, and our ongoing efforts to enhance the digital and innovation capabilities of young Bahraini women and foster their ability to harness technological tools in the service of a smarter, more sustainable future.”
For his part, Dr. Humam ElAgha, Acting Dean of the College of Engineering and Technology at the University, said: “BuildHer CityHack 2025 embodies our hands-on approach to education. By tackling real-world problems through creative thinking and sustainable solutions, we're preparing women to thrive in the knowledge economy – a cornerstone of the University's vision.”