LAS VEGAS (BERNAMA) – The Consumer Technology Association (CTA) warned that tariffs proposed by President-elect Donald Trump could significantly impact Americans’ ability to purchase technology products, potentially reducing consumer purchasing power by as much as USD143 billion, according to a report by Xinhua.
The report from the CTA projects steep declines in the purchase of popular tech products if the tariffs are implemented. Laptop and tablet purchases could fall by up to 68 per cent, while gaming console sales might see a drop of 58 per cent. Even smartphones are expected to experience a decline of up to 37 per cent.
“We’ve been closely monitoring this issue in our forecast research, focusing on the tech products consumers love and depend on, including smartphones and laptops, which could be at risk under President-elect Trump’s tariff proposals,” said CTA’s Senior Director of Innovation and Trends Brian Comiskey. Despite these concerns, the CTA’s report predicted moderate growth for the US consumer technology industry, projecting a 3.2-per-cent increase to USD537 billion in 2025. However, CTA officials warned that such growth could be undermined by the proposed trade policies.
“Our positive forecast reflects the resilience of the tech industry, but tariffs threaten the deflationary power of technology in the global economy,” said CTA chief executive officer Gary Shapiro in a statement.
“Tariffs effectively act as a tax on American businesses and consumers. We urge the incoming administration and Congress to adopt an Innovation Agenda that encourages growth and avoids these negative impacts.”
CTA Vice President of Trade Ed Brzytwaexpressed concern about possible retaliation from trading partners, which could increase costs, disrupt supply chains, and harm the global competitiveness of US industries.
“Retaliation from our trading partners raises costs, disrupts supply chains, and hurts the competitiveness of US industries,” Brzytwa said.
