Apple warns of new US import rates, fears competitive position

The proposed US import duties for products from China will damage the competitive position of tech giant Apple. This will reduce Apple's contribution to the US economy, the company said Thursday in a letter to the US trade representative.


The proposed US import duties for products from China will damage the competitive position of tech giant Apple. This will reduce Apple's contribution to the US economy, the company said Thursday in a letter to the US trade representative.

US President Donald Trump wants to levy 25 percent import tariffs on Chinese products worth 300 billion dollars (265.8 billion euros), provided that the two countries do not reach a trade agreement in the coming period.

The import rates would make Apple products such as iPhones, iPads and Macs up to hundreds of dollars more expensive. Apple warns that competitors who are not so strongly present on the US market will benefit from Trump's import duties.

Apple's warning follows after news from the Japanese business magazine Nikkei Asian Review on Wednesday, stating that Apple would consider a partial departure from China due to the trade dispute between the two countries.

The business magazine wrote that Apple would like to move between 15 and 30 percent of their Chinese production to countries in Southeast Asia. India and Vietnam would be the biggest contenders, claims the business magazine.

Extensive consultation 'Trump and Xi for G20 summit

Wednesday morning, it was announced that Chinese President Xi Jinping and US President Donald Trump will meet for the G20 Summit on 28 and 29 June. Possibly the purpose of the conversation is to reach a trade agreement.

The conflict escalated again in May, after a period in which countries seemed to be getting closer to a trade agreement. The US put the blame on China: the country would not have kept its promises at the last minute. The discussion followed the reciprocal introduction of trade rates.

In May, the US first raised import rates to $ 200 billion (178 billion euros) of Chinese goods, after which China slammed back with import rates to $ 60 billion of American goods.

ref: nunl