Donald J. Trump’s infamous administration has temporarily delayed a ten-percent tariff on some products which are manufactured in China.
The decision, which was made on Tuesday, is not likely to be made permanent but will immediately benefit a number of companies and products, including Apple Inc. and its iPhone.
The administration has made the decision to delay the tariffs on certain products and product types until December 15th, 2019. This is classed as a temporary reprieve so it is not actually a long-term victory for those business and products which will benefit. Nor is it a long-term victory for the end-consumer as the tariffs which likely result in noticeable price rises when they eventually hit. However, in the here and now, it is a small win for those products involved in the reprieve.
The decision to forego for the tariffs applies to telephones for cellular networks, portable automatic data processing machines which weigh less than 10 kg, set-top box and streaming devices, external computer monitors, keyboards, headphones which are not wireless, and remote control peripherals for video-gaming consoles.
This means that Apple’s iPhone is currently exempt from the tariff, as are iPad, MacBook, the iPod touch, and other laptops, all of which fall under the title of being portable automatic data processing machines. As long as they weigh less than the aforementioned 10 kg, of course.
It isn’t all good news for all products, however. Effective September 1st, 2019, the ten-percent tariffs will apply to base stations, lithium-ion batteries and battery cases, desktop Mac computers, Apple Watch bands, and even Apple Watch itself, which falls under the category of being a ‘machine for the reception, conversion, transmission, or regeneration of voice, images, or other data.‘
That category also includes AirPods, HomePod, and even wireless Beats hardware. So, Apple may have benefited in some areas with the reprieve but has definitely been hit where it hurts on a number of its other products.
As mentioned, Trump’s administration has taken the decision to delay those initial ten-percent tariffs on a slew of product types until December 15th. When that date eventually comes around, we fully expect these tariffs to come into force, and for Apple, and other companies, to pay heavily on the import of their Chinese-made goods.
(Source: Business Insider)
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