Trump has announced the plans for widening the net tariffs on Chinese imports. Hence then, China has threatened some retaliatory action which proves ‘fairly devastating’ to Apple – which hits iPhones as well as other devices.
Thus with the report of WSJ suggesting Apple product is also with the materials where Apple needs to make iPhones. Hence with the launch of Apple assembling the materials is needed to make its iPhones.
Thus Apple assembles gadgets in China along with its watches, Air Pods, and other devices, which is being vulnerable to the Trump’s administration of widening the scope of tariff on Chinese imports.
China thus threatened retaliatory moves in particular which could be devastating as per analyst with Moor Insights & Strategy, a technology firm. He thus said that Apple should have enough inventory with iPhones and smart-watches for production maintenance through holidays, but the long-term Chinese retaliation has to be a serious problem.
Hence with Apple already facing a 10% tariff on Apple Watches has sold in USA and hence with the entry of the country from China. One analyst thus estimates previous round of tariffs, which could reduce Apple revenue by 5% with the latest proposals which is a bit much deeper. Hence with the business leaders which includes Tim Cook repeatedly warned Trump, has a trade war with China which harms the US economy.