In a previous article we talked about Apple’s decision to move the Mac Pro production to China. And now, Bloomberg reports of recently published U.S. Trade Representative comment filings, which show that Apple is asking the Trump administration for break on tariffs for Mac Pro parts made in China.
According to the filings, Apple asked for parts like a power supply unit, circuit boards, stainless-steel structural enclosure, as well as completed mice and trackpads, to be exempted from the 25% import tax.
Although Apple’s products are designed in California, and contain technology and parts from the United States, the final installation for most of the products is completed in China. It’s also known that some of Apple’s products are assembled in Cork, Ireland.
The company stated that there are no comparable products for the 15 parts in question, be it from a U.S.-based or other international source. The filings say that:
“There are no other sources for this proprietary, Apple-designed component.”
The components do not specify which product they are meant for, but their description indicate that they are inputs for the high-end Mac Pro computer, which is expected to start shipping later this year, with a starting price of $5,999.
As you know, last year Trump imposed tariffs on $250 billion Chinese goods, in response to a trade deficit, allegations of intellectual property theft and unfair trade practices.
In May, the U.S. President even threatened tariffs on an additional $300 billion in Chinese imports. The following month, however, Trump has met with Chinese President Xi Jinping to restart trade deal negotiations.
Apple CEO Tim Kook commented that he personally told President Trump that tariffs are the wrong approach to China.
While Apple warned that the tariffs would affect “a wide range of Apple products”, the Apple Watch and AirPods somehow managed to dodge the duties.