This Company Likes Some Of Trump's Tariffs On China, But Not Others

This Company Likes Some Of Trump's Tariffs On China, But Not Others

This Company Likes Some Of Trump's Tariffs On China, But Not Others

US President Donald Trump's administration has threatened 25 percent tariffs on the Chinese imports, including seafood, furniture, lighting products, tires, chemicals and plastics.

A part of Apple's letter, which was first reported on by Bloomberg, reads, "It is hard to see how tariffs that hurt US companies and USA consumers will advance the Government's objectives with respect to China's technology policies".

While Apple did not offer an estimate of how much Trump's China tariffs would increase costs of production, the company argued that the tariffs will only hurt American consumers and companies, without curbing China's technology policies.

Those potential tariffs would come on top of tariffs Trump has said he's poised to slap on $200 billion worth of goods from China - everything from handbags to bicycle tires. He added that he's ready to place yet another round of tariffs on $267 billion in Chinese goods after that - bringing the total imports from China subject to tariffs to more than $500 billion. "That totally changes the equation".

In the absence of its strategy to minimize its economy's intake of us goods and services, the near-zero growth rate of China's imports of usa goods in July 2018 would be consistent with recessionary conditions being present in that country, which was certainly suggested in early 2018 prior to the implementation of any new tariffs being imposed by either nation on the other's goods.

That could help reignite USA demands that Beijing narrow its trade gap, which has temporarily been overshadowed by their clash over complaints China steals or pressures foreign companies to hand over technology.

Global businesses were on the edge of their seats Friday morning, as the comment period closed Thursday on duties on $200 billion worth of imports to the US from China.

Apple spells out in clear terms which of its products would be most affected by the tariffs: The Mac Mini, Apple Pencil, HomePod, and many of its chargers and adapters would all become more expensive to produce.

Such a perspective echoes sentiments Trump offered as his administration levied duties on $50 billion in imports from China this summer.

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They say a duty of between 10-25% "would cause broad, disproportionate economic harm to U.S. interests".

Apple also said that computer parts for its US operations would be hit by the tariffs.

Shares of Apple closed down 0.8 percent in regular Nasdaq trade on Friday, and slipped another 1 percent in extended trading.

China has retaliated on both occasions with tariffs on the equivalent value of United States goods. The company has not announced plans to move manufacturing from China to the U.S.

While China's response to USA demands has been unsatisfactory, Trump is still speaking to Chinese President Xi Jinping, and would be open to meeting in person, said Kudlow, director of the White House's National Economic Council.

"Semiconductors are America's fourth-largest export, and our industry has a global trade surplus of over $6 billion and a surplus with China of close to $2 billion in 2017", Intel's letter said.

The suggestion that Apple could easily move all of its manufacturing to the US doesn't quite match up with the realities of the consumer electronics industry, which depends on China's significantly lower wages as well as the country's massive manufacturing infrastructure. Doing so would escalate a confrontation between the world's two biggest economies and likely squeeze USA companies that import everything from handbags to bicycle tires.

He previously had threatened to hit 100 percent of imports from China if the country failed to address United States concerns over theft of USA technology and barriers to American goods and investments.

Some business groups greeted the president's latest tariff threats with dismay.

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