Tim Cook warns Trump that China tariffs will hurt Apple and help competition

Mike Deerkoski

Experts have been warning of the consequences of Trump’s trade war with China for a while, citing price increases for multiple goods, including consumer electronics. Now, a new voice has joined the choir — Apple CEO Tim Cook. At a recent dinner with the U.S. president, Cook warned that tariffs will negatively affect Apple, while boosting the business of the competition.

The main concern the Apple CEO apparently expressed was that the U.S. company’s biggest competitor, Samsung, would not be subject to the same tariffs. The Korean OEM can avoid them thanks to a more diverse supply chain. Samsung manufactures many of its products in South Korea, Vietnam, and other countries. Apple, on the other hand, still heavily relies on Chinese factories for the assembly of multiple devices.

Trump, however, seemed receptive to Tim Cook’s arguments, telling reporters on Sunday: “He said they are a very good competitor. So, Samsung is not paying tariffs because they’re based in a different location, mostly South Korea but they’re based in South Korea. And I thought he made a very compelling argument, so I’m thinking about it.”

Editor’s Pick

For now, most of Apple’s products are safe from price increases. Tariffs on iPhones, iPads, and MacBook laptops have been delayed until December. According to Trump, this has been done in an effort to avoid price increases for U.S. customers around Christmas season. However, tariffs that will hit other products — the Apple Watch, AirPods, and HomePod — go into effect September 1.

Earlier last week, Trump also tweeted that Apple “will be spending vast sums of money in the US,” but the company has not announced any new U.S. investment plans.

More posts about apple

Leaked renders of what is supposedly the iPhone 11.

This week in Apple: Huge iPhone naming scheme switch-up could be on the way

Samsung Galaxy Watch Active watchface 1

Samsung’s wearable market share explodes, Wear OS still a drop in the bucket

Apple laptop

U.S. airline regulator bans Macbook Pro models with recalled batteries

Samsung Galaxy A50 rear panel and triple camera

Report: Samsung hits record high EU market-share, as Huawei stumbles

LG V40 left, iPhone XS Max right.

How to switch from iPhone to Android: Sync your contacts, photos, and more!

Foldable iPad Concept Image

This week in Apple: Folding iPad, iPhone fingerprint sensor, Apple Card, more

Chromebook vs laptop: Which should you get?

An Apple MacBook Pro keyboard and touch bar

This week in Apple: 5G iPhones, 16-inch MacBook Pro, and Q3 earnings report

A Samsung and Apple smartphone pitted head to head on a table.

Apple’s phone market share took a double-digit hit, Samsung and Huawei gained

A hand holding an iPhone XS, showing off the display.

This week in Apple: Intel purchase, 120Hz iPhone displays, and Apple Car news

Powered by WPeMatico

      %d bloggers like this: