“Apple shares dipped Friday on a Bloomberg report that President Donald Trump’s most recent list of proposed tariffs on Chinese goods would hit a wide range of Apple products,” Sara Salinas reports for CNBC.
“The stock shed 1 percent just before market close, after gaining as much as 1 percent earlier in the session,” Salinas reports. “Shares of Apple suppliers Qualcomm, Skyworks and Cirrus Logic also dropped on the report.”
“The latest round of proposed tariffs would affect the Apple Watch, AirPods and Apple Pencil, the company said in a letter to the government, according to Bloomberg,” Salinas reports. “The U.S. Trade Representative’s public notice and comment period for the proposed additional tariffs ended Thursday, White House spokesperson Lindsay Walters said in a statement to CNBC.”
Read more in the full article here.
“In a letter to U.S. Trade Representative Robert Lighthizer, Apple Inc. said that a proposed 25% tariff on $200 billion work of Chinese imports would cover a “wide range of Apple products,” including the Apple Watch,” Emily Bary reports for MarketWatch. “The tariffs would also affect the Apple Pencil, AirPods, Mac Mini, cables and chargers, testing equipment, and repair tools.”
“Apple shares dipped into negative territory toward the end of Friday’s trading session and closed down 0.8%,” Bary reports. “Shares are up 37% over the past 12 months.”
Read more in the full article here.
MacDailyNews Note: White House spokesperson Lindsay Walters said in a statement to CNBC, “USTR is conducting a thorough review of public submissions. However, potential scenarios like this only further reinforce the importance of how getting China to play by the rules and fix their unfair practices will be good for the US and global economy.”
The United States is insisting that all countries that have placed artificial Trade Barriers and Tariffs on goods going into their country, remove those Barriers & Tariffs or be met with more than Reciprocity by the U.S.A. Trade must be fair and no longer a one way street!
— Donald J. Trump (@realDonaldTrump) June 24, 2018
I’m cognizant that in both the U.S. and China, there have been cases where everyone hasn’t benefited, where the benefit hasn’t been balanced. My belief is that one plus one equals three. The pie gets larger, working together. — Apple CEO Tim Cook, March 24, 2018
At least half of the popular fallacies about economics come from assuming that economic activity is a zero-sum game, in which what is gained by someone is lost by someone else. But transactions would not continue unless both sides gained, whether in international trade, employment, or renting an apartment. — Thomas Sowell, June 14, 2006
SEE ALSO:
Apple could be used as a ‘bargaining chip’ in the trade war, Chinese state-run media warns – August 7, 2018
Why the US-China trade war may not have much impact on Apple – July 17, 2018
Apple launches $300 million China Clean Energy Fund – July 13, 2018
What trade war? Markets shrug off US-China dueling tariffs – July 6, 2018
U.S. President Trump puts tech in trade war crosshairs with planned curb on China investment – June 25, 2018
The Trump administration told Apple it would not place tariffs on iPhones assembled in China – June 19, 2018
Chinese stocks end at 2-year low, Apple suppliers sink on trade-war concerns – June 19, 2018
Why Apple CEO Tim Cook is acting like tech’s top diplomat – June 18, 2018
Apple CEO Tim Cook doesn’t expect a full-blown trade war between the U.S. and China – June 5, 2018
President Trump and Apple CEO Cook meet at White House with trade the focus – April 25, 2018
Apple CEO Cook to meet with President Trump – April 25, 2018
Why Apple stock can withstand a Chinese trade war – April 5, 2018
Apple CEO Tim Cook heads to China as President Trump orders 25 percent tariffs on up to $60 billion in Chinese imports – March 23, 2018
BoA Merrill Lynch: Apple is prepping a ‘foldable’ iPhone; U.S. and China trade tensions not an issue for Apple – March 23, 2018
Designed in California. Assembled in China. How Apple’s iPhone skews U.S. trade deficit – March 21, 2018
President Trump blocks Broadcom-Qualcomm deal over China concerns – March 13, 2018
Elon Musk sides with President Trump on trade with China – March 8, 2018
Analyst: President Trump’s tariff impact on Apple would be just a ’rounding error’ – March 7, 2018
Do we really need to wait until 2020 when we get this freak out from grazytown?
Oh come on, the way he’s going he’s almost assured of a second term. After all trade wars are so easy to win. He’s the president your country really needs right now, he’s so incredibly appropriate.
And honest too.
“Because we’re so stupid”
Donald Trump.
He sure tells it like it is.
I’m surprised by the MDN take quoting Thomas Sowell, a columnist writing in 2006 in the Orange County Register. He suggests that trade is not a zero-sum game, which seems to be just the opposite of how President Trump operates.
http://bit.ly/2MZot9U
I want to correct one misstatement. Sowell is an economist at the Hoover Insitutuion. Which gives him more credibility.
https://en.wikipedia.org/wiki/Thomas_Sowell
He’s a conservative black man, so he really doesn’t have much credibility. He’s really just an Uncle Tom. But I know for some of this board, they need: /s
He’s one of the most brilliant men in America, you racist
oh sorry, missed the /s
My bad
Cook should stick to Apple beating their competition not complaining about his bloody personal grievances with the Trump administration. That shit may fly in California but other parts of the country are wondering that perhaps they should buy other devices until Cook shuts up.
Cook didn’t bring these tariffs down on the company. He has done everything he could to avoid them, including repeated friendly personal meetings with the President. I have heard Cook raise questions about issues that affect the company, but he hasn’t “complained about his bloody personal grievances.” To say so is just another pro-Trump, anti-Cook statement that has negligible basis in reality.
Trump has now responded by suggesting that Apple can avoid a 25% tariff simply by moving production to America and paying at least 50% more in overhead costs. Shades of Catch 22: buy eggs for 50 cents, sell them for a quarter, and make it up on volume. Stable genius, indeed.
A full day later, I note that nobody on this site has commented on Trump’s response to Apple’s letter—essentially to threaten the company with raising the tariffs on all its other products, too. I wonder when that discussion is going to begin.
https://gizmodo.com/trump-is-predictably-backstabbing-apple-on-tariffs-1828911258
The moment crazy agent orange is perp walked out of the White House cannot come too soon. Ducking criminal and traitor and thief.
How about No Tariffs on all Imports and Exports. That is what I call equal and Fair Trade. Just remember, we are the country that built China’s Government when we give the $400 Billion annually. We are the ones in the USA who got royally screwed by China and the other Countries that we have Trade Deals with! It’s time this Crapola stopped. IMO
You clear don’t understand trade, either, Brent. You are Trump are idiots of a feather. We did not “give them” $400 billion annually. Read and learn before you post nonsense.
We did give them $400B. They then gave us $400B in goods and services. The Americans who made the purchases were happy to make the exchange.
Yesterday, I went to the grocery store and gave them $100. They then gave me $100 in food. I made the transaction voluntarily because I preferred having the food to having the cash. I considered myself ahead of the game. I did not think the store was taking advantage of me. I have never expected the store to give me cash to offset the cash I give them.
International trade is not a zero-sum game where every dollar that China receives is lost to the USA. As David Ricardo taught us two centuries ago, unless trade is mutually beneficial, it is simply exploitation. The alternative, mercantilism, is the economic reflection of political colonialism. If you read the list of grievances in the US Declaration of Independence, the majority are direct consequences of King George and Lord North pursuing zero-sum economic policies similar to Mr. Trump’s.
See “How Mercantilism Started the American Revolution”
I like fair trade with no damn Tariffs on either side. Why can’t it be fair TxUser? Better yet make the products here in the Good Ole USA and put Americans back to work and Screw China!!!
China needs us more than we need them. And President Trump is not an idiot. He is a business man first and not a damn politician. And your the IDIOT my clueless friend!!!
It was proposed when the US met with the EU. EU wasn’t “excited” about the idea.
Hard to read the article on my iPhone so I’m not sure if there’s a link or not but earlier today elsewhere I read Apples actual letter and it gives good insight to the issue from Apple ‘s perspective. Worth a look , internet search it.
What the fuck is the senile man-baby going on about? The US is still BY FAR the richest country on the planet, consuming more resources BY FAR than anyone else… 5% of the world’s population consuming about 25% of the resources.
China wants to hurt Apple to punish USA over tariffs.
The Guardian : “China threatens to cut sales of iPhones and US cars if ‘naive’ Trump pursues trade war”
USA wants to hurt Apple to punish China over tariffs
Do people see some WTF irony in this….
Well, anyone with the lights turned on…yes. To the rest it’s all Tim Cook’s fault apparently. All that virtue_signalling_SJW_LGBT_weekend marching_ not doing his job…..has consequences when you live in an irony desert.
What the Trump giveth : the Trump doth take away – multiple times. He’s in your back pocket while handing out pennies and self congratulations.
#kakistocracy
your sage observation brings to mind the old adage that
“a man caught between two lawyers is like a fish out of water caught between two cats”
guess we will see where all this trade bickering goes, but perhaps the likely negative impact in their biggest market will inspire apple to rise to the challenge by rededicating itself to reinvigorating its entire product line.
to step up their game and once again build a full suite of products so compellingly powerful, feature-rich and capable that chinese – or any other – customers will still be willing to buy them despite the extra politically imposed expense.
apple originally rose to success by building a better mousetrap, and the world, accordingly, beat a path to their door. It is and will always be a winning strategy.
Well I have to look after my retirement plan, so I’ve sold some stock on the basis that AAPL will suffer some possibly extended market retraction and share price drop anyway. If I’m right, I’ll buy back in.