June 19: Apple is reported to have been excluded from the U.S. Tariffs imposed by Trump Administration over Chinese imports. Accordingly, Tim Cook was assured by the President that the iPhones assembled in China will not be subject to U.S. tariffs.
The New York Times reported that Apple CEO Tim Cook had earlier visited Trump at the White House in April to warn the President of the potential threat for the company that would be caused by imposing tariffs against Chinese goods. The report doesn’t specify when exactly Trump had made the commitment to Cook.
The exclusion of Apple from U.S. Tariffs might not bring big relief to Apple, as prospect of a China retaliation still looms over the company. Trump has approved $50 billion in tariffs on Chinese goods during the previous week, and this was followed by the China’s retaliatory tariffs imposed against U.S goods.
The Trump administration is preparing an addition $200 billion in tariffs as a response to the retaliatory tariffs imposed by China. Besides, another $200 billion is tariff would be imposed on top of that in case retaliation tariffs are again imposed by China.
Reportedly, Apple is worried over the impact of the trade war over the company. China’s retaliation could also include moves like delay of supply chain of Apple, or stiffer regulatory scrutiny to Apple products. The trade tension had already triggered moves in China for delay of imports of various US companies, the most recent of which is the delay of US auto imports of Ford at Chinese port.