The Consumer Technology Association, CTA, has raised concerns on Sunday, stating that tariffs proposed by President-elect Donald Trump could greatly impact Americans’ ability to afford technology products.
The association noted that consumer purchasing power could potentially decrease by as much as $143 billion.
In a report published by CTA, it projected that purchases of laptops and tablets could decline by up to 68 percent, while gaming console sales might drop by 58 percent.
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Additionally, smartphone purchases, which play a central role in modern technology use, could experience a reduction of up to 37 percent.
“We have been watching closely in our forecast research, looking at the tech products consumers love and rely upon, including smartphones and laptops. Understanding that they may be threatened by President-elect Trump’s tariff proposals,’’ said Brian Comiskey, CTA’s senior director of innovation and trends.
The report also forecasted a 3.2 percent growth for the U.S. consumer technology industry, reaching $537 billion in 2025.
“Our positive forecast reflects the industry’s strength, but proposed tariffs threaten the deflationary power of tech in the global economy. Tariffs are a tax on American businesses and consumers. We urge the incoming administration and Congress to prioritize an Innovation Agenda that fosters growth,’’ CTA CEO Gary Shapiro said in a statement.
Ed Brzytwa, CTA’s vice president of trade, pointed out further risks associated with potential international responses.
“Retaliation from our trading partners raises costs, disrupts supply chains, and hurts the competitiveness of U.S. industries,’’ he said, urging the incoming administration to carefully weigh these consequences when shaping trade policy.
Crediblenewsng.com
