From Ars Technica · · 1m 50s
Trump’s 100% US Tech Push Costs Billions
Trade group warns Trump’s goal to make all tech in the US by 2031 would cost $185-230 billion and hurt consumers.
In brief
Trade group warns Trump’s goal to make all tech in the US by 2031 would cost $185-230 billion and hurt consumers. The Consumer Technology Association estimates that fully reshoring 10 key tech products to US manufacturing by 2031 would cost $185-230 billion, 555,000-668,000 new jobs, and 19.1-19.5 billion…
Trump’s reshoring plan
Trump aims to make all in-demand technologies 100 percent in the US by reshoring supply chains.
CTA estimates reshoring costs
The Consumer Technology Association says full US production of 10 products by 2031 would cost $185-230 billion.
Labor and energy demands
Reshoring would require 555,000-668,000 new workers and 19.1-19.5 billion kilowatt-hours of electricity yearly.
Smartphones face biggest cost jump
Smartphones would cost 152 percent more to make in the US, with consumers covering some of the increase.
Other products see steep price hikes
Laptops would cost 93 percent more, smartwatches 97 percent more, and TVs 41 percent more to build in the US.
Consumer impact
Households replacing phones, laptops, and TVs could face 27-55 percent higher prices over time.
Apple’s stance on tariffs
Apple has not blamed Trump for price increases but faces backlash for a $2,000 starting price tier for foldable iPhones.
CTA’s alternative plan
The CTA recommends reshoring only assembly, not components, to reduce costs to $16-19 billion.
Trump unlikely to accept assembly-only plan
Trump demands 50 percent of semiconductor manufacturing in the US by end of term, which the CTA says is physically impossible.
Small businesses at risk
Small businesses, which make up 80 percent of CTA’s membership, could face higher costs that affect US inflation.
CTA’s warning on consumer costs
The CTA warns that reshoring the most essential products like smartphones and laptops would have the highest costs for consumers.
The one thing
The Consumer Technology Association estimates that fully reshoring 10 key tech products to US manufacturing by 2031 would cost $185-230 billion, 555,000-668,000 new jobs, and 19.1-19.5 billion kilowatt-hours of electricity annually.
