When it comes to the U.S.-China trade war, will the president keep hios hands off the Apple iPhone as he allegedly promised to?

Earlier today, the president tweeted that he is having dinner tonight with Tim Cook. Trump is currently on vacation at his golf resort in in Bedminster, New Jersey. The pair met at the White House in May as Apple’s CEO tried to warn the president about the negative effects of a trade war between the U.S. and China.

While most Apple devices are designed by the company in Cupertino, they are assembled by contract manufacturers in China. Cellphones are the highest valued product imported into the U.S. from China, with over $70 billion worth of handsets shipped into the states from the country in 2017. That might be too big a target for the president to ignore.

Considering that Apple reportedly makes only $8.46 profit on each iPhone sold, there isn’t enough wiggle room for Apple to absorb a tariff placed on the device. Should Trump decide to escalate the trade war with China even more, and include Apple’s most important product, Apple will have no choice but to raise iPhone prices in the U.S.



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