US Could Tariff iPhones and Laptops Imported from China

US President Donald Trump is due to meet Chinese leader Xi Jinping later this week to try to defuse the trade dispute between Washington and Beijing

Apple Stock Drops as Trump Discusses Potential iPhone Tariff

He also told The Journal it was "highly unlikely" that the USA would exit this week's G20 summit with an agreement to hold off on increasing duties already in place on Chinese goods.

He said Apple iPhones and laptop computers imported from China would "maybe" also be subject to tariffs, the newspaper reported.

"Maybe. Depends on what the rate is", Trump said, referring to the possibility of tariffs on mobile phones and laptops.

"Although the current economic situation in the U.S.is good, people can not rule out the possibility of another-I don't want to use the word "crisis"-a similar situation as what happened 10 years ago", he warned".

Shares in Apple Inc fell in after-hours trading after the interview was published. Apple couldn't be reached for comment. Trump didn't discuss dedicated gaming hardware specifically, but he did comment on the potential for a hike in iPhone prices.

RBC analyst Amit Daryanani lowered earnings estimates for the company's March quarter on Tuesday, citing softer demand for the iPhone from Apple suppliers.

Oil prices steadied, while the USA dollar, which has benefited from safe-haven flows this year as the trade conflict worsened, rose against peers. Inventec Corp., which supplies Apple and other USA tech companies, fell 4 percent to the lowest level in more than a year. Apple's products are now exempt from USA tariffs. Of course, Apple is far from the only USA tech company to be potentially affected, though it's certainly among the most high-profile. Still, the company warned in September, that other items, like the Mac mini, Apple Pencil stylus, and some cables and cases, could be harmed. Trump on several occasions has suggested that Apple should bring iPhone manufacturing to the U.S.

Asian shares battled to extend a global rebound today after US President Donald Trump seemed to quash hopes of a trade truce with China, dampening risk appetite across the region. "Combined with last week's harsh report from the United States trade representative, investors have only the flimsiest hope that the Trump-Xi meeting in Argentina will amount to more than a hill of soybeans".

In September, Apple won a reprieve from the initial 10% tariff on some of the company's products-including the Apple Watch, Apple Pencil, and AirPods-after the company wrote a letter to United States Trade Representative that said the action would increase prices for USA consumers.

Latest News