{"id":134279,"date":"2025-04-19T10:57:07","date_gmt":"2025-04-19T10:57:07","guid":{"rendered":"https:\/\/quixnet.net\/wpinstance\/chinese-tech-firms-up-their-game-as-reciprocal-tariffs-hit-u-s-products-nbc-news\/"},"modified":"2025-04-19T10:57:07","modified_gmt":"2025-04-19T10:57:07","slug":"chinese-tech-firms-up-their-game-as-reciprocal-tariffs-hit-u-s-products-nbc-news","status":"publish","type":"post","link":"https:\/\/quixnet.net\/wpinstance\/chinese-tech-firms-up-their-game-as-reciprocal-tariffs-hit-u-s-products-nbc-news\/","title":{"rendered":"Chinese tech firms up their game as reciprocal tariffs hit U.S. products – NBC News"},"content":{"rendered":"

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HONG KONG \u2014 Marcus Wu\u2019s home racing simulator setup needs one more thing: a manual gearshift. A decade ago, one from a Western brand would have been a no-brainer for gamers like the 12-year-old Hongkonger.
As President Donald Trump\u2019s trade war<\/a> with Beijing<\/a> escalates, the fact that Wu opted for a gearshift from Chinese manufacturer Moza illustrates how far Chinese manufacturers have come<\/a> in competing with their Western counterparts on affordability and quality.
The deepening economic conflict between the U.S. and China, the world\u2019s two largest economies, has the potential to wreak havoc on a complex web of globalized commerce. And Trump\u2019s attempts to claw back manufacturing to American shores could have unintended consequences, including giving Chinese technology manufacturers an edge at a time when American products are already becoming expensive.
Wu and his father-cum-financier, Mingfai, have already made their choice, opting for a Chinese alternative over American brands such as the Oregon-based Thrustmaster. \u201cIf only the price was good but the quality wasn\u2019t, then I wouldn\u2019t have bought this,\u201d the elder Wu said. \u201cBut this is cheaper and works great.\u201d
The duo were browsing Hong Kong\u2019s Sham Shui Po computer market \u2014 a sprawling hub of small tech stores selling everything from computer parts to gaming equipment for casual gamers and enthusiasts alike.
To residents and tourists from mainland China \u2014 a country with a gaming market of half a billion users \u2014 the market is a one-stop shop, featuring top American brands including Dell, Corsair and the Nasdaq-listed Swiss manufacturer <\/strong>Logitech.
Those are just some of the companies competing for market share in a gaming industry that accounting firm PricewaterhouseCoopers estimates will be worth $300 billion by 2027. According to China\u2019s Game Industry Report<\/a>, China\u2019s gamers contributed $44 billion in sales revenues to the industry last year.
To be sure, Western brands are still popular when it comes to big-ticket items like monitors, processors and storage devices, but sellers at the market told NBC News that Chinese brands have been knocking it out of the park<\/a> when it comes to accessories, like mice, keyboards and simulator setups.
\u201cSo many Chinese manufacturers popped up after the pandemic,\u201d said Dennis Leung, a sales assistant at a store that specializes in gaming peripherals. \u201cThey often provide an extremely cheap and bargain price compared to the whole market,\u201d he said.
Standing in front of a table of 30 mice, Leung held up two with identical feel and weight. The Chinese option, which was cheaper and more powerful, had been outselling its Western counterpart, he said.
The Trump administration last week issued a memorandum saying that electronics including computers, smartphones and some components will be temporarily exempt from levies imposed on Chinese imports.
But Trump\u2019s indication that duties on semiconductors and other technology could be on their way means it\u2019s still unclear whether electronics could get more expensive in the U.S. and whether prices of American-made products could go up for the rest of the world, too.
That uncertainty may already be causing nervousness at companies such as Dell \u2014 the $56 billion tech giant has a 20% share of the global gaming market \u2014 as well as the $12 billion market cap for Logitech and specialists such as Corsair, which is worth $630 million.
The administration\u2019s market-roiling tariffs come at a time when the quality of Chinese products has already vastly improved. That\u2019s giving Hong Kong\u2019s vendors a chance to capitalize.
When it comes to buying gaming accessories, shoppers don\u2019t really care where the end product is coming from, Kira Fong, manager of another store in the market, told NBC News. \u201cMost people just look for quality. They still want the best equipment,\u201d he said.
Analysts expect Chinese-made tech products only to get better.
\u201cPeople are choosing more Chinese-made products in each industry, not just personal computers, gaming, smartphones or electric vehicles,\u201d said Xiao Feng Zeng, who analyzes China\u2019s gaming and esports industry at Niko Partners, an Asian and European gaming intelligence firm.
\u201cTheir quality is better and the price is cheaper,\u201d the Shanghai-based vice president said, adding that Trump\u2019s policies will hurt America\u2019s ability to compete for young gamers.
The policies of the president, who refers to himself as \u201cTariff Man,\u201d are already feeding through into higher prices.
Hyte, a gaming PC sister brand of the California-based iBuyPower, said this month on X<\/a> that while it was standing by increased prices, those prices will not be sustainable long term.
That was not a problem for <\/strong>Marcus Wu, and more importantly his dad, at checkout at the Sham Shui Po market.
With his son excited to go home and play with his new gearshift, Mingfai Wu breathed a sigh of relief.
\u201cIt\u2019s Chinese,\u201d the elder Wu said. \u201cThat\u2019s why it\u2019s cheap and good!\u201d
Mithil Aggarwal is a Hong Kong-based reporter\/producer for NBC News.
© 2025 NBCUniversal Media, LLC<\/p>\n

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