US-China Tariff Deal: Relief for Apple, Nvidia, and Tech Firms

Tariffs have caused a lot of headaches for tech companies amidst the China vs the US economic war. Now, it looks like things might finally calm down a bit. President Trump and China’s President Xi Jinping agreed to lower tariffs on Chinese goods from 57% to 47%. At the same time, China will allow the US to import rare-earth minerals to be imported for one year. The US-China Tariff Deal Has Been Reached, but how will it change the current situation?

Lower tariffs will help a lot as companies will spend less on imports. In the same fashion, supply will get more stable. The brands can focus on making products instead of worrying about trade costs. Interestingly, some analysts even think we might see slightly lower prices for gadgets in the future.

To put things into perspective, NVIDIA lost about 95% of its market share in China when the tariffs became active. This basically pushed the world's richest company out of the business in the country. Now, however, NVIDIA can resume its operations there.

But don't hold your breath just yet. We need some caution with the US-China Tariff Deal. Unfortunately, not everything is solved yet. For now, this US-China Tariff deal doesn’t cover semiconductor exports to China. As a result, this still affects chipmakers like Nvidia, Qualcomm, and Intel. Trump says both sides will need to “talk things out,” but there’s no clear timeline.

Another interesting topic is the TikTok situation; it isn't solved yet. China says talks are ongoing, but the US wants to make sure the app is safe before it can run normally again. Nevertheless, even with these issues, the deal is a major step forward. What makes this possible? Well, both countries are giving a little.

The next few months are important as they will determine if tariff cuts lead to more changes. For those unaware, the so-called Rare-earth minerals are used in phones, electric cars, and chips. If China extends the one-year rule, US companies will benefit a lot from this.

For now, both countries are moving carefully. The trade war that caused so much uncertainty seems to be calming down. There are still challenges, but the mood has shifted to cooperation. Companies like Apple, Nvidia, and Tesla may finally get some breathing room in 2026.