CNBC’s Money Movers: Eric Jackson Discusses New Tariffs and Their Impact on the Tech Sector
On a recent episode of CNBC’s “Money Movers,” Eric Jackson, the founder and president of EMJ Capital, shared his insights on the newly announced tariffs from the White House and their potential effects on the tech sector.
Eric Jackson’s Reaction to the Tariffs
During the interview, Jackson expressed his surprise at the sudden announcement of the tariffs, stating, “I think the market was caught off guard by this.” He went on to say that the tech sector, in particular, could face significant challenges as a result of these tariffs.
Impact on the Tech Sector
According to Jackson, the tech sector could be hit hard by the tariffs due to its heavy reliance on imported components. He explained, “A lot of the tech companies, especially in the semiconductor space, rely on a global supply chain. And if those tariffs get put in place, it could lead to higher costs for those companies.”
Additional Impacts on Specific Companies
Jackson also mentioned specific companies that could be impacted by the tariffs, such as Apple, which sources a significant portion of its components from China. He stated, “Apple is a great example. They’re going to have to pay more for those components if they’re coming from China. And that could lead to higher prices for consumers.”
Global Impact
The impact of the tariffs isn’t limited to just the tech sector or even the United States. Jackson noted, “This could lead to a trade war, which could lead to a global economic slowdown.” He went on to explain that other countries could retaliate with their own tariffs, leading to a vicious cycle of trade restrictions and economic instability.
Effects on Consumers
When asked about the potential impact on consumers, Jackson stated, “Consumers could end up paying more for products if the companies have to pass on the higher costs to them.” He also noted that the tariffs could lead to job losses in the tech sector and potentially other industries.
Conclusion
In conclusion, the newly announced tariffs from the White House could have significant impacts on the tech sector and beyond. With many tech companies relying on a global supply chain, higher costs could lead to higher prices for consumers and potential job losses. The situation could also escalate into a global trade war, leading to a global economic slowdown.
- Tariffs could lead to higher costs for tech companies
- Consumers could pay more for products
- Job losses possible in tech sector and beyond
- Potential for global trade war and economic instability
