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Apple says Trump tariffs could increase prices for Apple Watch, AirPods, more

Apple gets tough on tariffs
Apple gets tough on tariffs 01:49

Apple has pushed back against President Donald Trump's proposed tariffs, arguing that additional penalties on $267 billion worth of Chinese imports are likely to make a whole bevy of Apple products more expensive.

The list, which the company recently released in a public letter to the U.S. Trade Representative, includes AirPods, the company's wireless earbuds; the Apple Watch; the Mac Mini and various chargers and cables.

The list also includes components that can be found in Apple computers, such as electrical connectors, circuit boards, graphics cards and laptop trackpads.

Shares of the company's Chinese suppliers, including Luxshare Precision, Shenzhen Sunway Communication and Suzhou Dongshan Precision Manufacturing, fell by 10 percent, Reuters reported.

Intel has also vocally opposed new tariffs, calling them a "game changer for the American consumer" on Monday.

Mr. Trump tweeted that Apple should simply make their products in the United States. "Start building new plants now. Exciting!" he said.

But it's not quite that simple, argued Russell Hancock, president and CEO at Joint Venture Silicon Valley.

"The fact is, if you were to manufacture any of these things in the United States, it would be dramatically more costly," he said, citing significantly higher labor costs in America. CNBC reported that manufacturing in the U.S. would hike the price of Apple's products by 20 percent.

"You would be surprised how integrated the global econ is. It's hard to say there are any truly 'American' products," Hancock added.

Here is the list of items that Apple said would be hit by China tariffs:

  • Apple Watch
  • AirPods
  • HomePod 
  • BeatsWL
  • AirPort 
  • Time Capsule
  • MacMini
  • Apple Magic Mouse and Trackpad, 
  • Apple Pencil
  • Apple adapters, chargers, cables and cord
  • Apple leather covers and cases for iPhone, iPad, MacBook and ApplePencil


  • Apple main logic boards with microprocessing units
  • Memory modules, Video graphic/audio cards and PCBAs
  • Apple computer parts (e.g., housings and internal components)
  • Equipment used for research, development, testing and engineering
  • Electrical connectors
  • Apple MacBook internal keyboards and trackpads
  • Printed circuit boards
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