Apple: Our Prices will be Affected by Tariffs on China
Apple warns that many of its products, including Apple Watch, will be affected by the US intention to impose additional tariffs on Chinese products.
However, in a letter sent to US government officials, the company did not say the expected impact on the iPhone, its main revenue engine, whose new models are expected to be unveiled this coming Wednesday.
In a letter sent to US government officials, the company details the products that will be damaged if US President Donald Trump will impose tariffs on Chinese products worth $ 200 billion: the Wutches, AirPods headphones, some of the Bates earphones and the new smart speaker Humpwood IPhone.
In the letter, the company details the products that will be affected if US President Donald Trump will impose tariffs on Chinese products worth $ 200 billion, as he plans, among them the Handshake, AirPods headphones, some of the BITS earphones and the new Smartphone speaker.
However, none of the products mentioned are considered central to Apple‘s current business model, certainly not to the iPhone, which accounts for about two-thirds of its revenue, or even Mac computers. Specific computer components, probably those intended for data centers, may be affected by the covers. In addition, they will also affect mouse keyboards, chargers and even coverings for iPhone and iPad.
“Our concern about these caps is that the US will be the main victim of them, and this will be reflected in weaker growth and higher prices for US consumers,” the company said, declining 0.8 percent in regular trading on Nasdaq and another in late trading.
Last Friday, Trump said he had prepared a plan to impose tariffs on other Chinese products valued at $ 267 billion, and that she was ready “at short notice if he wanted to.” This plan, if implemented, is expected to hurt Apple a lot more – because it applies to cell phones.
Hülya Karahan: The Founder