Trump tells Apple to make products in US to avoid China tariffs

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The President is banking on the strong United States economy - with unemployment at record lows - to take the edge off the damage to the USA itself in the face of a trade war.

"The US$200 billion we are talking about could take place very soon depending on what happens with them. To a certain extent it's going to be up to China", he said.

"That totally changes the equation", Trump said.

That list includes some consumer products, like cameras, luggage and tires and they'd be subject to tariffs of 10-25 percent.

Retailers had successfully kept high-profile consumer electronics such as mobile phones and television sets off of previous tariff lists.

The president's tweet comes just days after Apple sent a letter to the U.S. Trade Representative raising concerns that the additional tariffs that the president proposed would be bad for business.

But Beijing will struggle to keep responding in kind as it imports less than Dollars 200 billion in U.S. goods per year.

The suggestion that Apple could easily move all of its manufacturing to the USA doesn't quite match up with the realities of the consumer electronics industry, which depends on China's significantly lower wages as well as the country's massive manufacturing infrastructure.

No long-range missiles, N.Korea military parade features floats and flowers
The parade, which appeared to be smaller than similar events in the past, was split into two sections, civilian and military. Tickets to this year's spectacle started at just over US$100 and went up to more than US$800 per seat.

The Chinese yuan also fell against the dollar.

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

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

Forecasters had said China's sales to the United States, its largest national export market, might weaken after manufacturers rushed to fill orders ahead of Trump's first tariff hike July 6.

The four tech firms are concerned that tariffs will increase the cost of items such as hard drives, servers and networking equipment, which could hit profits and result in job cuts in the US. The US imported $505 billion in goods from China a year ago. Among the equipment hit were a number of components and devices used by United States tech firms, including chips and networking gear produced in Chinese factories. Those talks will continue to go on.

"We will evaluate the comments and we will make a decision", Kudlow said, suggesting it could be some time before the fresh import charges will be levied.

China's imports from the United States grew only 2.7 percent in August, a slowdown from 11.1 percent in July. "However, hope springs eternal".

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