Since US President Donald Trump put his punitive tariffs into force on almost all countries in the world on Wednesday and then paused shortly afterwards, Apple shareholders have had a financial whipped trauma. The papers from the iPhone manufacturer had a roller coaster in the days before. From Thursday last week to Tuesday in this, the papers lost 5 percent, sometimes up to 8. In post -exchangeable trade, this went back and forth. After announcing the break, things went up again – confusingly, since the customs tariffs for China were increased to 125 percent and the main production of the topseller iPhone takes place there.
What is more expensive, customs or “made in the USA”?
On Thursday, the Wall Street also realized that the current situation is not (yet) helpful for Apple: the shareholders again went down by 4.24 percent, and again by almost 1 percent. The market capitalization is now $ 2.8 trillion. In the meantime, Apple had been overhauled by Microsoft in the stock market value, now there is approximately tie with a slight advantage, after Microsoft also got a minus from the (re) turned stock exchange climate.
Trump later said that he believed that the production of iPhones in China was “not sustainable” for Apple. However, there is no announcement that a production will occur in the United States. Instead, Apple Intelligence could be created in Texas, just as the expensive Mac Pro was built there. An investigation by the Bank of America came to the conclusion that an iPhone “Made in the USA” would be up to 90 percent more expensive than one from China. The higher wage costs alone increased the price of 25 percent, according to the bankers in an analyst report, which Bloomberg is available.
Components from China also with customs
The US government, on the other hand, is convinced that the iPhone can be produced in the USA. The Bank of America does not believe that Apple is building a production – unless the tariffs remained permanently in force. And even if the factories are in the USA, many components from China would have to be flown in, on which tariffs could then be collected again.
Currently, 185 countries of the punitive tariffs are excluded for 90 days. The Trump administration wants to negotiate during this time. The Apple share had lost a total of 14 percent by Thursday, and the loss of spa value in the meantime was $ 480 billion.
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