Taiwanese company Pegatron, a key supplier to Apple and Dell, said President Donald Trump's tariffs are creating uncertainty in the US market and threatening a shortage of consumer electronics, Reuters writes.
According to Pegatron Chairman T. H. Tung, due to constant changes in customs policy, American retailers are unable to make decisions on orders, which could lead to empty shelves in stores in just a few months.
Trump recently temporarily suspended some tariffs on Vietnam, Indonesia and India, countries where Pegatron has manufacturing facilities. However, the overall 10% tariff on imports into the US remains in place, which is discouraging importers from increasing their shipments. Tung believes that businesses may hold off on taking action, waiting for the tariffs to be lifted completely.
At the same time, Tung stressed that Pegatron will not change its long-term strategies due to short-term trade restrictions. The company continues to diversify its manufacturing capabilities, expanding its presence in Southeast Asia and Mexico. He also added that decisions on new manufacturing sites are made in collaboration with customers.
According to Tung, Trump's tariffs have disrupted the stability of global supply chains, but other countries have not yet followed suit. Pegatron plans to continue to focus on long-term development and cooperation with international customers, despite the economic and trade uncertainty caused by the US.