Apple: China Tariffs by Trump Will Hurt Company

Apple: China Tariffs by Trump Will Hurt Company

Apple: China Tariffs by Trump Will Hurt Company

President Donald Trump concedes that some Apple Inc. products may become more expensive if his administration imposes "massive" additional tariffs on Chinese-made goods, but he says the tech company can fix the problem by moving production to the U.S.

Trump first threatened to impose the round of tariffs in July, and the move would be a drastic escalation of the trade war between the United States and China.

Trump, speaking on Friday aboard Air Force One, said the administration had tariffs planned for an additional $US267 billion ($A376 billion) worth of Chinese goods.

Asian markets were mixed Thursday on fears that the USA would soon impose tariffs on another $200 billion of Chinese goods, as public consultations drew to a close. "That changes the equation".

On the $200 billion list are consumer products such as cameras, suitcases, tires and vacuum cleaners, which would see a tariff of 10% to 25% levied upon them. The higher price of Chinese products will soon start to bite American customers; the higher cost of inputs from China is already hitting some small and medium industry sectors; and retaliatory tariffs on American agricultural exports to China are hitting American farmers. Comparatively few applauded the tariffs.

Trump's threat to escalate USA tariffs on Chinese imports contributed to a decline on Wall Street, with stock index futures dropping on concern that companies and workers would likely endure some financial pain. For example, the proposed tariffs cover Apple Watch, which has become the top-selling smart-watch in the us and globally.

In its filing, Apple challenged that approach, writing that "it is hard to see how tariffs that hurt USA companies and US consumers will advance the Government's objectives with respect to China's technology policies".

Retailers had successfully kept high-profile consumer electronics such as cell phones and television sets off of previous tariff lists.

Tariffs could be used to shift negative attention away from the Trump administration, according to Height.

Apple, like other tech giants, has benefited from the last year's overhaul to the US tax code, and the company has committed to returning much of the $252 billion in cash it held overseas. "Now we've added another $200 billion".

"We'll continue to talk to China", he said at the White House on September 5. Those talks will continue to go on.

The United States is negotiating with Canada this week to try and finalize a deal to modernize the North American Free Trade Agreement, an outcome some in the White House say will allow Washington to turn up the heat on Beijing. "It's just another indication we're not out of the woods yet", she said.

"Those have been our asks for many months and so far those asks have not been satisfied", he said.

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