Saturday, September 21, 2019
News

China trade war will help Samsung, Tim Cook tells Trump (Lead)

   SocialTwist Tell-a-Friend    Print this Page   COMMENT

Washington | Monday, 2019 8:45:05 PM IST
US President Donald Trump has praised Apple CEO Tim Cook for "making a good case" that tariffs on China will help Samsung gain more as it is based in South Korea and does not need to pay any tariffs.

In a conversation with reporters, Trump said "he has had a very good meeting with Cook", The Verge reported on Sunday.

"I have a lot of respect for Tim Cook, and Tim was talking to me about tariffs. And one of the things, and he made a good case, is that Samsung is their number-one competitor, and Samsung is not paying tariffs because they're based in South Korea," Trump told the media at a New Jersey airport.

Most of Apple's products are assembled in China and will be subject to an additional 10 per cent import tax later this year.

The ongoing trade-war between the US and China has caused Apple's iPhone production costs to rise as much as 3 per cent because of the new retaliatory tariffs imposed by Beijing, to come into effect from September 1 for products like the Apple Watch and AirPod.

Trump earlier met Cook during a dinner on Friday night, saying that Apple would be spending "vast sums of money in the US".

"It's tough for Apple to pay tariffs if they're competing with a very good company that's not. I said, aHow good a competitor?' He said they are a very good competitor. So Samsung is not paying tariffs because they're based in a different location," said Trump.

Samsung has most of its manufacturing base in South Korea and Vietnam.

Apple iPhones would be around $100 more expensive in the US once new 10 per cent tariff on $300 billion in goods imported from China comes into place from September 1.

"iPhone sales in the US, China and other markets could fall by 8 million to 10 million," CBS News reported earlier this month.

Apple XS Max starts at $1,099 and new 10 per cent tariff would mean a roughly $110 hike.

In May, Fortune quoted a Wedbush analyst Dan Ives as telling investors that tariffs on the device's Chinese-made batteries and other components would increase Apple's manufacturing cost by 2 to 3 per cent.

According to Ives, Apple's costs could soar higher if the Trump administration follows through with a plan to add an additional $325 billion in tariffs to Chinese goods. If that happens, iPhones would cost an extra $120 each to produce.

--IANS na/

( 427 Words)

2019-08-19-14:44:07 (IANS)

 
  LATEST COMMENTS (0)
POST YOUR COMMENT
Comments Not Available
 
POST YOUR COMMENT
 
 
TRENDING TOPICS
 
 
CITY NEWS
MORE CITIES
 
 
 
MORE SCIENCE NEWS
#CorporateTaxCut trends as FM announces ...
Realme ups the ante, eyes top spot in Di...
Twitter purges over 10,000 propaganda ac...
Facebook bringing new interactive ad sol...
Tech companies hail corporate tax cut...
Not selling WhatsApp or Instagram: Mark ...
More...
 
INDIA WORLD ASIA
No eligible youth in J-K should be depri...
Telugu movie title changed after protest...
Capsized Andhra boat had 77 on board, 16...
IAF 'accepts' Rafale, formal hand-over o...
Goa Cong chief calls Sitharaman 'clueles...
Shah bats for speedy investigation of se...
More...    
 
 Top Stories
MHA announces Sardar Patel Award fo... 
PM Modi leaves on packed, week-long... 
ED attaches over Rs 234 crore asset... 
Used frustration of last Olympics t... 
#CorporateTaxCut trends as FM annou... 
Jonita Gandhi unveils her new song ... 
Need to be patient with Pant: Chief... 
Daler Mehndi: Mentoring kids on mus...