Apple in a letter to the U.S. Trade Representative said President Donald Trump's proposed Chinese tariffs could impact the Apple Watch and some other important products, making them more expensive for domestic buyers.
Apple told Robert Lighthizer that the tariffs, which would impose a 25 percent duty on $200 billion worth of goods imported from China, affect a range of products, from Apple Watch to Mac mini. Other devices mentioned in an accompanying list of products potentially impacted by the tariff codes include AirPods, HomePod, Apple Pencil and various accessories like chargers, cases, covers, adapters and cables.
Also at stake are Apple-designed components and made-to-specification tooling for U.S. manufacturing and product repair facilities, specialty testing equipment for product development labs and equipment supporting the company's data centers.
"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," Apple said in the letter.
Apple stock took a fall in Friday trading, with shares down as much as 1 percent in the late afternoon, CNBC noted. By close the dip had eased to 0.81 percent.
Trump delivered news of the tariffs to a scrum of reporters on Air Force One, telling them that the new regulations could come "very soon depending on what happens," according to Bloomberg.
Apple joined Cisco, HP Enterprise, and other tech firms in sending letters to Lighthizer, warning of the potential damage tariffs could cause. Corporations will likely pass duties costs onto buyers rather that accept lower profits, which could affect not just consumer electronics but the deployment of internet infrastructure.
In a recent Securities and Exchange Commission filing, Apple warned that tariffs and "other protectionist measures" could hurt the company financially. In the past Trump has allegedly assured CEO Tim Cook that the iPhone wouldn't be affected, but the leader has reversed course on other promises in the past.
Apple Tariff Letter by Mike Wuerthele on Scribd