ZCZC
BCN-05
US-CHINA-TRADE-IT-APPLE
Apple says US tariffs on China would backfire
WASHINGTON, June 21, 2019 (BSS/AFP) – Apple is warning the US
administration that proposed tariffs on Chinese imports would be
counterproductive, saying they would hurt the iPhone maker’s competitiveness
and “tilt the playing field” to non-American rivals.
In comments filed this week to the US Trade Representative, Apple said the
tariff proposal by President Donald Trump would hurt Apple’s ability to
compete and also end up reducing the tech giant’s contributions to the US
economy in taxes and investments.
The Apple comments dated June 17 noted that the company is the largest US
corporate taxpayer and also is on track to invest some $350 billion in the
country over five years.
“US tariffs on Apple’s products would result in a reduction of Apple’s US
economic contribution,” the company said.
Additionally, the company said the plan would “weigh on Apple’s global
competitiveness” and effectively boost its Chinese rivals.
“The Chinese producers we compete with in global markets do not have a
significant presence in the US market, and so would not be impacted by US
tariffs,” the letter said.
“Neither would our other major non-US competitors. A US tariff would,
therefore, tilt the playing field in favor of our global competitors.”
The US already has 25 percent duties on more than $250 billion of imports
from China.
Global markets are concerned about Trump’s threat to impose more steep
tariffs on China, on an additional $300 billion in goods.
Apple, which according to some reports is considering moving some
production of iPhones and other goods from China to India or other countries,
said the proposed tariff list “covers all of Apple’s major products,”
including iPhone, iPad, Mac, AirPods and AppleTV.
BSS/AFP/HR/0840