Trump Presses Apple to Shift Production to U.S.

Cisco Systems Inc. Hewlett Packard Enterprise Co. and other technology companies sent a letter to US Trade Representative Robert Lighthiser urging the administration to avoid imposing more tariffs

The Trump administration may be about to slap tariffs of up to 25 percent on an additional $200 billion in Chinese goods, escalating a confrontation between the world's two biggest economies and likely squeezing USA companies that import everything from handbags to bicycle tires.

The Trump administration has placed punitive tariffs on $50 billion in Chinese goods and threatened to tax all Chinese imports to the United States.

The Trump administration has imposed tariffs of $US50 billion on imports from China, mostly equipment and material used by manufacturers. A public comment period on the import taxes ended Thursday.

The figures were well below July's performance, when exports had jumped 12.2 per cent and imports grew 27 per cent.

That could help reignite US 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.

Four major US tech companies have written to the US Trade Representative (USTR) asking for protection from the proposed third round of Trump tariffs.

"There's an inescapable mutuality that serves the bring the United States and China together", said Cook.

The company said tariffs would hit "a wide range of Apple products, " including computers, watches, adapters, chargers and tools used in its USA manufacturing, fix and data centers.

Trump has been locked in a trade dispute with Beijing over China's policy of forcing United States companies to hand over trade secrets, as a price of doing business in China.

"That totally changes the equation", Mr Trump said.

Talk of the bonus $267bn tariff package comes as the White House has yet to settle all of the specifics of the planned $200bn tariff prospoals - which, as we said, would follow up that earlier $50bn package.

Apple also mentioned that tariffs would raise the cost of servers, hard drives and cables for USA data centers.

This would further escalate the trade war Trump is leading against China.

Wei Jianguo, former vice-minister of commerce, said the USA is handling relations with China in an extremely high-pressure and irrational manner. "As a result, tariffs will ultimately reduce the economic benefit we generate for the United States", the company writes. The strong performance of markets over the past few months "keeps getting disrupted by news on trade" and "it's just another indication we're not out of the woods yet", she said. "However, hope springs eternal".

Related:

Comments


Other news