US iPhones will no longer be manufactured in China, Apple announces, attributing the change to the effects of Trump's tariffs.
Here's a Fresh Take:
Apple is shakein' things up, shifting gears to minimize the effects of Donald Trump's tariffs. With most iPhones heading to India and iPads crankin' out in Vietnam, they're aiming to prevent U.S. consumers from payin' through the nose.
Announcing their financial results for Q1, Apple revealed that the escalating trade war with the U.S. president has had limited impact on their performance so far. However, CEO Tim Cook predicts that the tariffs could cost 'em a whopping £677m during the current quarter, unless Trump's policies change.
Demand for iPhones was high during that time, possibly due to American shoppers rushing to grab a device before the tariffs came into full force. But the real picture won't be clear until Apple reports its Q2 results later in the year.
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Apple took a big hit when Trump announced plans to impose tariffs on dozens of countries, which are now temporarily on hold for 90 days. Apple's stock took a nosedive, diving 23%, wiping out a mind-blowing £582bn of value.
While the share price has slowly climbed back up, it's still a significant 5% lower than before, triggerin' what folks call "Liberation Day". Apple's sales in China are shrinkin' too, fallin' by 2.3% between January and March.
On the bright side, Apple's adaptability and smart moves show that they're not just a digital giant, but a flexible one too. Addressin' the changes in their manufacturing, Cook shared, "We've learned that havin' everything in one place is too risky."
Devices destined for other parts of the world will continue to be produced in China.
- The temporary hold on Donald Trump's planned tariffs on dozens of countries has been a relief for Apple, as they were initially expected to cause significant financial loss.
- Apple's stock was significantly impacted by the tariff announcement, falling by 23%, equating to a staggering £582bn loss in value.
- Despite a gradual recovery since then, Apple's stock is still 5% lower than pre-announcement levels, marking what's known as "Liberation Day."
- Apple's sales in China have decreased by 2.3% between January and March, perhaps due to consumers anticipating higher prices following the tariff announcement.
