Electronics Industry Making Its Voice Heard on Tariffs, AI, and More

Global Advocacy Report – LinkedIn Edition – July 28, 2025  

U.S. tariff uncertainties, the AI supply chain, and regulatory developments in the U.S. and Europe topped our headlines again this week, with potential impacts spreading across several electronics sub-sectors.   

Scroll onward for a quick rundown of relevant policy news and trends worldwide. And as always, let us know how we can advocate for your interests.

Industry Raises Copper Concerns at White House Meeting  

The copper industry and related sectors remain on edge as U.S. President Donald Trump continues weighing a 50% tariff on imported copper as soon as this Friday, August 1.  

In a meeting with White House officials last week, the Global Electronics Association presented the results of a survey we did with U.S. board fabricators and EMS firms to better understand the potential impacts. According to the survey, many fabricators anticipate a 10% to 30% increase in manufacturing costs if the tariff takes effect. For some, the estimate is as high as 50%. It's also frustrating to realize the tariffs would apply to the full volume of imported copper, even the significant portions that are etched or milled away during fabrication. With most electronics-grade copper foil and laminates still sourced from Asia, and with only limited U.S. capacity available, the risk of immediate cost increases is high. 

Check out this Industry Intelligence Brief from the Global Electronics Association for the complete analysis, and this LinkedIn post for more color commentary. Until we have more clarity, companies should assess their exposure and consider strategies including supply diversification, increased recycling, and potential material substitutions. Contact: Chris Mitchell

New Trade Deals Signal Some Relief, Yet Uncertainties for Electronics  

A wave of recent trade agreements has brought short-term relief and long-term questions for the global electronics industry.

U.S. President Donald Trump on Sunday announced a trade deal with the European Union, setting tariffs at 15% for European goods including automobiles. The Guardian offers five key takeaways from the deal. Meanwhile, the U.S. announced a trade deal with Japan that imposes a 15% base tariff, lowers tariffs on auto imports, and includes a $550 billion package of U.S.-bound investment and loans.” U.S. automakers object to the terms (Reuters, July 23).

The Hill newspaper recaps the six bilateral trade deals that have been struck in advance of President Trump’s Aug. 1 deadline, as well as the tariffs set to take effect on Friday on countries that have not struck deals.

The Global Electronics Association is tracking the situation closely and will provide more details and analyses as any trade deals come forward. We have been urging U.S. officials to exempt key manufacturing inputs such as semiconductors, PCBs, raw materials, and specialized equipment from any tariffs, or to mitigate the tariffs in other ways. With the new deadline just days away, electronics manufacturers should prepare for more turbulence and multiple scenarios. Contact: Chris Mitchell

National AI Action Plan Should Revive the Focus on the Electronics Inside

The White House last week revealed a National AI Action Plan, culminating a process launched in January to replace the more cautious approach advocated by former President Joe Biden. President Donald Trump signed a trio of executive orders to put the plan in motion, including one to accelerate the construction of AI data centers, an issue of special interest to the electronics industry.

The plan reads in part: “AI will enable a wide range of new innovations in the physical world: autonomous drones, self-driving cars, robotics, and other inventions for which terminology does not yet exist. It is crucial that America and our trusted allies be world-class manufacturers of these next-generation technologies. … The Federal government should prioritize investment in these emerging technologies” through a variety of programs, the plan says, including some that have been important for electronics investment, such as the Defense Production Act.  

Last October, the Global Electronics Association (formerly IPC) published a paper on the actions needed to ensure a resilient supply chain for the electronics used in AI data centers. As we said at the time, several electronics sub-sectors were identified as “critically important” and in need of significant government attention to enable a stronger supply chain for next-generation AI server data centers, from design to manufacture. To download the report, visit https://go.ipc.org/ai-datacenters. Stay tuned for more industry advocacy on this issue.

Contact: Chris Mitchell

EC Pursues Simplification of Environmental Rules and Launches Circular Economy Act Consultation

The European Commission has opened a new call for evidence aimed at simplifying environmental compliance across several key regulatory frameworks, including industrial emissions, waste, and circular economy rules.

According to the Commission, the planned “environmental omnibus” proposal, which is expected in Q4 2025, may include streamlining of reporting obligations, digitalisation of compliance processes, and potential changes to extended producer responsibility rules. Feedback is being collected through the Have Your Say portal until September 10, and the Global Electronics Association is seeking member input for a coordinated industry response.

Separately, a public consultation on the forthcoming Circular Economy Act will launch shortly and remain open for three months. Members are encouraged to share input for inclusion in the association’s official comments. Contact: Diana Radovan  

Pentagon Releases 2025 PFAS Update; Minnesota Extends Reporting Period

The U.S. Department of Defense has published its 2025 Update on Critical PFAS Uses, expanding on its 2023 baseline and highlighting growing civil-military dependencies on fluorochemicals.

According to the report, mission-critical applications now include textiles, barriers, coatings, batteries, and medical devices, many of which have no current substitutes. The DoD warns that “structural” definitions of PFAS, when applied without toxicity data, are fueling regulatory fragmentation and supply chain disruption. The agency outlines a phased strategy to maintain defense readiness while gradually transitioning to safer alternatives, a process expected to take decades.

Separately, the Minnesota Pollution Control Agency announced an extension of its PFAS reporting deadline for intentionally added substances in products from January 1 to July 1, 2026. As this date now overlaps with the EPA’s TSCA Section 8(a)(7) PFAS reporting period, manufacturers will need to prepare two parallel submissions, each with partially different data requirements and PFAS definitions. Contact: Diana Radovan   

Learn More and Get Involved in Electronics Industry Advocacy

All over the world, the Global Electronics Association (electronics.org) seeks opportunities to educate, inform and influence government policymakers on decisions that affect our industry.

But our success depends on active support and participation from attentive leaders like you!

To learn more and get involved:

• Find us and follow us on LinkedIn; the links are above.

• Reach out to speak with us. We’re listening.

• Peruse our global Advocacy pages on electronics.org and follow the links to information about our work in North America, Europe, and Asia.

• Subscribe to receive the Global Advocacy Report by email.

• Get ready to make your voice heard! We'll let you know when and how.

 Have a great week, and please contact us if you have any questions or insights to share.