Apple lost more than $250 billion in market value on Thursday, with stocks down 8.5% as a result of President Donald Trump’s tariffs.
The iPhone maker has won one of the biggest hits on Wall Street. There, tech stocks fell as investors eschewed money from unstable assets. Tesla, Nvidia and Meta fell 6%, while Amazon’s stock fell 7.2%.
Trump announced at least 10% sweep tariffs Wednesday afternoon, further increasing in some countries (the Chinese total tariff rate has skyrocketed to 54%) and takes effect on April 5th.
The White House argues that tariffs are not negotiation tactics, but rather the need to boost domestic manufacturing. The president called them a move to “liberate” the American economy.
Trump’s enormous tariffs on imports into the US will affect all of Apple’s biggest suppliers and manufacturing hubs in Asia, from China to India, Taiwan, India and Vietnam, despite Tim Cook’s efforts to bring the administration to justice. This means that all models of iPhone, iPad, Mac and accessories sold by Apple will be affected.
Cook chooses to raise consumer costs or causes losses to Apple, wiping out hundreds of billions with potential profits.
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