CUPERTINO (dpa-AFX) - Tech giant Apple Inc. (AAPL) says US President Donald Trump's China tariffs are going to hurt the company.
In a letter to U.S. Trade Representative Robert Lighthizer, Apple said that a proposed 25% tariff on $200 billion worth of Chinese imports would cover a 'wide range of Apple products,' including the Apple Watch. The proposed tariffs would also affect the Apple Pencil, AirPods, Mac Mini, adapters, cables and chargers, testing equipment and repair tools.
'Our concern with these tariffs is that the U.S. will be hardest hit, and that will result in lower U.S. growth and competitiveness and higher prices for U.S. consumers,' the company said in its letter.
'First, given the balance of Apple's economic footprint, the burden of the proposed tariffs will fall much more heavily on the United States than on China.'
'The traditional method of calculating the U.S. trade balance attributes the entire value of our products to the country where final assembly is located, in most cases China. That calculation, however, does not reflect the immense value that Apple generates in, and returns to, the United States.'
The letter also said that Apple found it 'difficult to see how tariffs that hurt U.S. companies and U.S. consumers will advance the government's objectives with respect to China's technology policies.'
'We hope, instead, that you will reconsider these measures and work to find other, more effective solutions that leave the U.S. economy and U.S. consumer stronger and healthier than ever before,' the letter concludes.
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