Apple stock (AAPL) is poised for a significant bounce on Monday following President Donald Trump’s weekend announcement exempting smartphones, computers, and other tech devices from his recently imposed reciprocal tariffs.

Late Friday evening, the U.S. Customs and Border Protection issued new guidance revealing that these critical tech products would be spared from the 145% tariffs on Chinese imports that Trump announced earlier this month. This move comes as a massive relief for Apple, which manufactures the majority of its products in China, including 80% of iPads and more than half of Mac computers.

The exemptions cover 20 product categories, including:

• Smartphones
• Computers
• Semiconductors
• Solar cells
• Flat panel TV displays
• Flash drives
• Memory cards

White House deputy press secretary Kush Desai explained that these exemptions were granted to provide companies time to relocate production to the United States. “At the direction of the President, these companies are hustling to onshore their manufacturing in the United States as soon as possible,” Desai stated.

While the 20% baseline tariff on Chinese goods remains in effect, the exempted products will avoid the additional 125% tariff on Chinese imports and the 10% tariff imposed on imports from other countries.

Industry analysts are calling this a game-changer for the tech sector. Dan Ives, global head of technology research at Wedbush Securities, described it as “the dream scenario for tech investors” and noted that the tariffs would have been “Armageddon for big tech” if fully implemented.

The exemptions represent a significant victory for Apple and other tech giants who had been facing potentially devastating cost increases. The news is expected to trigger a notable rally in Apple shares when markets open Monday, with other tech stocks likely following suit.

Investors who have been concerned about Apple’s heavy reliance on Chinese manufacturing can now breathe a sigh of relief, at least temporarily, as the company gains valuable time to potentially diversify its production footprint while avoiding immediate price hikes or profit margin compression.