Apple has sent a letter to the US government, urging it to reconsider a new set of proposed tariffs on goods from China. The company sent the letter, shown by the Verge, to US Trade Representative Robert Lightizer, saying the new tariffs would affect Apple’s global competitiveness. They would not impact Chinese or other competitors; this would therefore tilt the playing filed in favour of these international competitors. The letter explains USTR’s proposal is to impose tariffs of up to 25 percent on a fourth set of products imported from China. This round would include all of Apple’s major products, including iPhones, iPads, Macs, AirPods and AppleTV, as well as parts and battteries used to repair products in the US and Apple accessories such as monitors and keyboards.
Apple said the tariffs would hurt its ability to contributed to the US economy. The company noted that it is one of the largest job creators in the US, responsible for over 2 million jobs across all 50 states. The company said it was well on track to make a total direct contribution to the US economy of over USD 350 over 5 years, as announced after the US tax reform of 2018. The company also noted it the largest corporate taxpayer to the US Treasury and that its products are used by all sorts of parties in the country, from families and students to government agencies, schools and hospitals. The tariffs would reduce that contribution.
Other laptop manufacturers such as Dell, HP, Intel, and Microsoft, also wrote a letter opposing the increase. “The tariffs will harm US technology leaders, hindering their ability to innovate and compete in a global marketplace,” the companies wrote. If the tariffs go into effect, one option would be to move production out of China. Another would be to raise prices on products, reducing profits.
