Apple products spared in Trump's new tariffs list; cloud services hit
Apple Smartwatch series 4
Although Apple products were spared, but computer servers and networking gear that power "cloud" data centres face increased tariffs
Apple CEO Tim Cook can breathe easy with the US government deciding to spare the company's watch and wireless AirPods headphones from being put on the tariffs list released by US Trade Representative (USTR) on Monday.
Also Read: Trump hits China with tariffs on another $200 billion
President Trump just hours back imposed a new round of tariffs on China imposing $200 billion on imported Chinese goods. The new tariffs will take effect on September 24th at a 10 per cent level and rise to 25 per cent on January 1, 2019.
"For months, we have urged China to change these unfair practices and give fair and reciprocal treatment to American companies," Trump said in a statement.
Although Apple products were spared, but computer servers and networking gear that power "cloud" data centres face increased tariffs while entering the US.
Fitness trackers from Fitbit Inc have also been put off the tariffs list but products that help computer networks operate, such as routers, will remain on the new list, an official said.
Apple Chief Executive Tim Cook had dinner with US president Tump last month. Apple had said the US tariffs would affect prices for a "wide range" of Apple products, including its Watch, in a letter.
"Our concern with these tariffs is that the US will be hardest hit, and that will result in lower US growth and competitiveness and higher prices for US consumers," Apple said in the letter. After Apple's comments, Trump said in a tweet that there was no "easy solution" for Apple to avoid tariffs.
"Make your products in the United States instead of China. Start building new plants now," Trump shot back in his tweet.