The Donald Trump-led US administration is considering a plan to impose tariffs on imported electronic devices depending on the number of chips in each one of them, Reuters reported, citing three sourcesUnder the proposal, the US commerce department would calculate tariffs as a percentage of the product’s estimated chip value, in a move designed to push manufacturers to shift production to America.

“America cannot be reliant on foreign imports for the semiconductor products that are essential for our national and economic security,” White House spokesperson Kush Desai told Reuters, regarding the matter.“The Trump administration is implementing a nuanced, multi-faceted approach to reshoring critical manufacturing back to the United States with tariffs, tax cuts, deregulation, and energy abundance,” Desai added.Uncertainty remains about the scope of products that would be affected, tariff rates, and possible exemptions. The commerce department was weighing a 25% rate on chip content, and 15% for electronics from Japan and the EU, though figures were still preliminary, a source told the agency.

What will be the impact if tariff gets imposed?

If implemented, the policy would apply to a broad range of consumer goods, from toothbrushes to laptops, potentially raising costs for US households. Economists warned it could also worsen inflation. According to Michael Strain, an economist with the conservative American Enterprise Institute, the move would push up consumer prices “at a time when the US has an inflationary problem, with inflation clearly above the Fed’s target and accelerating.”He added that even domestically produced goods could get costlier due to higher tariffs on imported inputs.Trump has already rolled out sweeping tariffs this year, including 100% duties on branded drugs and 25% on heavy-duty trucks. Earlier in April, his administration launched probes into pharmaceuticals and semiconductors, calling foreign reliance a national security threat.A potential exemption linked to investments in US manufacturing, dollar-for-dollar credits only if a company shifts half its production to America, has been discussed but not finalised. Meanwhile, earlier proposals to exempt chipmaking tools faced pushback from the White House, with sources saying Trump dislikes carve-outs. Taiwan Semiconductor Manufacturing Co. (TSMC) and South Korea’s Samsung Electronics, the world’s biggest non-US chipmakers, could be among the hardest hit.

Harrods has warned some customers that their personal data may have been taken in an IT systems breach.

The luxury Knightsbridge department store said information, such as names and contact details, of its e-commerce customers was taken after one of its third-party provider systems was compromised.

In a statement, Harrods said: “We have been notified by one of our third-party providers that some Harrods e-commerce customers’ personal data has been taken from one of their systems.

“We have informed affected customers that the impacted personal data is limited to basic personal identifiers including name and contact details but does not include account passwords or payment details.

“The third party has confirmed this is an isolated incident which has been contained, and we are working closely with them to ensure that all appropriate actions are being taken. We have notified all relevant authorities.”

In May, Harrods restricted internet access across its sites as a precautionary measure after an attempt to gain unauthorised access to its systems.

The spokesman added: “No Harrods system has been compromised and it is important to note that the data was taken from a third-party provider and is unconnected to attempts to gain unauthorised access to some Harrods systems earlier this year.”

In July, four people, including two men aged 19, a 17 year-old boy and a 20-year-old woman who were arrested for their suspected involvement in damaging cyber attacks against Marks & Spencer, the Co-op and Harrods, were bailed pending further inquiries.

They were arrested on suspicion of blackmail, money laundering, offences linked to the Computer Misuse Act, and participating in the activities of an organised crime group, according to the National Crime Agency.