US President Donald Trump has said he expected to raise punitive tariff rates on hundreds of billions in Chinese imports as early as January 1, 2019.
Major equity indexes in the USA started the day in the negative territory on Tuesday as investors stay cautious ahead of the G20 summit, at which US President Trump and his Chinese Counterpart Xi are expected to negotiate on trade.
"Our view on tariffs is that they show up as a tax on the consumer and wind up resulting in lower economic growth and sometimes can bring about significant risk of unintended consequences", Cook said, according to a FactSet transcript. The United States targeted $250 billion in Chinese products, and Beijing lashed back by slapping tariffs on $110 billion worth of USA goods. Can the same be said for video game consoles?
"If we don't make a deal, then I'm going to put the $267bn additional on", he told the newspaper, referring to the remainder of Chinese imports which so far have not been hit with tariffs. Apple stock fell about 1.6 percent in extended trading Monday following the comments.
Mr Trump told The Wall Street Journal that the goods from China that could be subjected to new tariffs included iPhones and laptops.
Storm Diana set to hit Sussex
Some rain showers are forecast for Tuesday, but the more severe wet and windy weather will push in from the south west tomorrow. Storm Diana is now sitting west of the Azores and as it comes north it will bring severe gales, heavy rain but also milder air.
Washington has kicked off the process of putting tariffs and investment restrictions on Chinese companies, while taking the Middle Kingdom to the World Trade Organization for dispute settlement.
What's the endgame in the US-China trade war?
While the Trump Administration is worrying about consumer reaction, Donald Trump suggested a 10% increase of the price wont change much and people could stand that very easily.
USA stocks dipped in choppy trading on Tuesday after President Donald Trump's threat to move ahead with additional tariffs on Chinese goods weighed on industrial stocks. The ongoing U.S. China trade war has driven economic headlines for months.
Despite using contract manufacturers to make most of its products overseas, Apple has also sought to emphasise its contribution to the U.S. economy, saying it plans to spend about US$55 billion in 2018 with its US-based suppliers.