Trump: Apple can avoid tariffs by shifting production to US


President Donald Trump concedes that some Apple Inc. products may become more expensive if his administration imposes "massive" additional tariffs on Chinese-made goods, but he says the tech company can fix the problem by moving production to the U.S.

"Start building new plants now. Exciting!" Trump said Saturday in a tweet aimed at the Cupertino, California-based company.

This week, Apple said that a proposed new round of $200 billion in additional tariffs on Chinese imports would raise prices on some of its products, including the Apple Watch and the Mac mini.

The company is highly exposed to a trade war between the U.S. and China. It makes many of its products for the U.S. market in China, and it also sells gadgets including the iPhone in China, making them a potential target for Chinese retaliation against the Trump tariffs.

Trump tweeted Saturday that "Apple prices may increase because of the massive Tariffs we may be imposing on China — but there is an easy solution where there would be ZERO tax, and indeed a tax incentive," if the company made its products in the U.S. instead of China.

Apple didn't immediately respond to a request for comment. The company has not announced plans to move manufacturing from China to the U.S.

In its letter this week to the Office of the U.S. Trade Representative, Apple said that "because all tariffs ultimately show up as a tax on US consumers, they will increase the cost of Apple products that our customers have come to rely on in their daily lives."

The company said tariffs would hit "a wide range of Apple products," including computers, watches, adapters, chargers and tools used in its U.S. manufacturing, repair and data centers. Apple said the tariffs would raise the cost of its U.S. operations and put it at a disadvantage to foreign rivals.

The White House has accused China of stealing U.S. intellectual property and forcing American companies to share their technology with Chinese companies. The tariffs would pressure China to stop that behavior, the administration has said. Apple said "it is difficult to see" how tariffs would advance the government's goal.

The presidential tweet is the latest salvo in a dispute between the Trump administration and companies that fear tariffs will hurt their business.

The Trump administration has imposed tariffs of $50 billion on imports from China, mostly equipment and material used by manufacturers. CEO Tim Cook said in July that those measures had no effect on Apple. The company is concerned, however, about the Trump administration's proposal to add 25 percent duties on another $200 billion in Chinese goods, including a wider assortment of consumer-related items.


Reader Comments ...


Next Up in Nation & World

CDC: Life expectancy in U.S. declines for second year in a row
CDC: Life expectancy in U.S. declines for second year in a row

For the second year in a row, the life expectancy of Americans got shorter. >> Read more trending news  According to the latest report from the Centers for Disease Control and Prevention in Atlanta, the overall life expectancy in the U.S. was 78.6 years, down .1 from the previous year. Men can expect to live 76.1 years, down from...
Hurricane Safety: What are hurricane categories and what do they mean?
Hurricane Safety: What are hurricane categories and what do they mean?

The East Coast is no stranger to hurricanes and the destruction that follows. The Saffir-Simpson scale was developed to help determine damage and flooding before it strikes.   What is a hurricane?  A hurricane is a rotating low-pressure weather system that converts the energy of warm air into winds and waves. Hurricanes have “warm...
Hurricane Safety: Here’s a step-by-step guide to filing an insurance claim
Hurricane Safety: Here’s a step-by-step guide to filing an insurance claim

A hurricane leaves a path of destruction and many are left trying to figure out how to begin the chore of cleaning up and repairing their property.  >> Read more trending news  Insurance companies will send claims teams to the affected areas after the event so that customers can get the process of filing a claim started and get the...
At impasse over testimony by accuser, GOP sets Monday panel vote on Kavanaugh
At impasse over testimony by accuser, GOP sets Monday panel vote on Kavanaugh

Ending several days of increasingly political battles over a woman who accused Supreme Court nominee Brett Kavanaugh of sexual misconduct, Republicans on the Senate Judiciary Committee declared Friday night that they were unable to reach an agreement for the testimony of Kavanaugh’s accuser, and set a committee vote for...
Hurricane Safety: 10 tips to stay safe when returning home after a natural disaster
Hurricane Safety: 10 tips to stay safe when returning home after a natural disaster

While much attention is placed on storm preparedness, the period just after a natural disaster can be particularly dangerous. Weary residents who are eager to return to their homes are at increased risk for a variety of life-threatening situations, including carbon monoxide poisoning, electrocution, mold exposure and food poisoning. The following...
More Stories