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    Apple should not raise product prices due to new tariff imposed on China by the US, says analyst

      In addition to saying that iPhones should have a fingerprint reader again in 2021, market analyst Ming-Chi Kuo also spoke a little about the consequences of the latest tariffs imposed on China by the US government on Apple products. The analyst published a report this Monday (05) with the information.

      According to Kuo, Apple is prepared to absorb the extra expenses and the tariffs will not lead to an increase in the price of apple products - at least in the short to medium term. 



      In addition, the analyst also said he believes that Apple will work to boost its non-Chinese production, making the demand of the North American market to be met without the need for apple to pay extra tariffs.

      Apple should not raise product prices due to new tariff imposed on China by the US, says analyst

      iPhones should not have their prices affected by the new tariff imposed on China by the US.

      To put this in better context, President Donald Trump recently imposed a new 10% tariff on $300 billion worth of Chinese goods entering American soil.

      This caused Apple's inventories to drop by 2%, as Apple reported that this move on the part of the government would raise the price of all its products in the future. 

      But for Kuo, that shouldn't happen. According to him, the reason would be Apple's advanced production automation along with its dominance in the North American market.

      Apple should not raise product prices due to new tariff imposed on China by the US, says analyst

      Macs unfortunately depend on China to meet their demand.

      Kuo further detailed how each product must survive this change. For him, the iPhone will have its demand met in the United States because of its producers in India and Vietnam. The iPad, on the other hand, could be developed by the company's non-Chinese facilities - thanks to the automation of production. AirPods and Apple Watches must also have the demands met through producers outside the US. 



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      The Mac unfortunately does not follow this line. For Kuo, the facilities responsible for producing the computer outside China will not be able to meet American demand until 2021. 



      The way is to wait for the unfolding of the war between the USA and China to know what the future of the apple will be like. Be that as it may, one thing is obvious: it is not likely to lose its post as one of the biggest tech companies anytime soon.

      Font: gsmarena

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