What you need to know
- Apple has applied for and been given a number of tariff exemptions for the Mac Pro
- Trump had originally stated that no exemptions would be given
- Tariffs are set to rise to 30% on Chinese products in October
Despite Trump's earlier assertion that Apple would not be excluded from U.S. tariffs on Chinese manufactured products, the company has gained tariff exemptions for a number of parts for the new Mac Pro, Apple's new desktop computer that is set to ship at some point in the fall.
Reported by Bloomberg, Apple has gained approval for ten of its fifteen exemption requests that focus on components of the new Mac Pro, according to the U.S. Trade Representative's office.
President Trump had originally stated back in July on Twitter that Apple would in no way be excluded from the new tariffs, arguing that if the company doesn't want to pay tariffs, they should make the parts in the United States.
Apple will not be given Tariff waiver, or relief, for Mac Pro parts that are made in China. Make them in the USA, no Tariffs!Apple will not be given Tariff waiver, or relief, for Mac Pro parts that are made in China. Make them in the USA, no Tariffs!— Donald J. Trump (@realDonaldTrump) July 26, 2019July 26, 2019
President Trump later backtracked the quote a little stating that:
We'll work it out...I think they're going to announce they're going to build a plant in Texas.
Apple has in fact been working towards moving the production of the Mac Pro from China to its plant in Texas, something Tim Cook had gone over in the company's earnings call in July. While, that move will not create a new factory, it would see an expansion of the current building. Perhaps the company's show of good faith towards that change, along with proving the the company currently relies on China for those components, explains the exemptions that the Mac Pro is starting to see.
The Mac Pro is not the only Apple product under fire from potential tariffs. Apple's entire product lineup, from the iPhone to the Magic Mouse, is currently at risk. The company is in continued talks with the adminstration, with Tim Cook even meeting with President Trump in person, to gain exemption from current and upcoming tariffs.
