How Apple could partially circumvent the Trump tariffs
Apple could pay significantly more for the new import costs in the USA. To prevent this from happening, a multiple strategy is planned.
Apple boss Cook with Donald Trump: picture from quieter days.
(Image: dpa, Evan Vucci/AP/dpa)
Will the iPhone – cost at least 700 US dollars more in the United States? There is currently speculation like this after President Donald Trump wants to impose tough tariffs on China and other Apple manufacturing countries. Apple headquarters is now considering how best to respond. China, for example, the country where most iPhones are manufactured, is to be hit with a 54 percent tariff on imports. This would be very bad for the end customer prices of the smartphone (or Apple's margin). But alternative regions such as Vietnam (46%) or India (26%) are also burdened. Apple's EU headquarters in Ireland would be hit with 20 percent. According to a Bloomberg report, Apple is now considering adjusting its prices – also because the issue is so prominent in the media. But it is unlikely to stop there: the company is trying to restructure its supply chain to save on customs duties.
The good connection
As a first step, Apple will probably try to reduce prices at its suppliers. Component manufacturers and production partners must be prepared for tough negotiations. Apple will probably also swallow some costs, which will reduce the margin.
Videos by heise
After all, Apple boss Tim Cook still has a good relationship with Donald Trump from his previous term in office. He once helped the company to partially escape the punitive tariffs against China. However, Apple also set up production in other countries at the same time, particularly in India.
Indian production completely in the USA?
It is precisely this country that could now help Apple to avoid having to pay so many import duties. The Wall Street Journal reports that there are currently plans to manufacture more devices in India, where the import duty to the USA is only 26 percent. The idea is to send almost all the iPhones manufactured in the country to the USA.
Production of 25 million units is currently planned for this year, of which at least 10 million should go to the Indian market. Apple probably needs around 50 million units, so Indian production alone is not enough. However, Apple is trying to increase production. Tariffs only apply when goods are imported into a country. Under Trump, this will apply to practically every country in the world, with different rates to be paid by the importer.
Empfohlener redaktioneller Inhalt
Mit Ihrer Zustimmung wird hier ein externer Preisvergleich (heise Preisvergleich) geladen.
Ich bin damit einverstanden, dass mir externe Inhalte angezeigt werden. Damit können personenbezogene Daten an Drittplattformen (heise Preisvergleich) übermittelt werden. Mehr dazu in unserer Datenschutzerklärung.
(bsc)
