iPhones assembled in China will not be subject to new US tariffs on Chinese goods according to a source familiar with the negotiations.
President Donald Trump recently informed Apple CEO Tim Cook that while its iPhones are assembled by Foxconn in China, they will be spared from the Trump Administration's new tariffs on Chinese goods.
Last month Tim Cook traveled to Washington where he met with the president at the White House to warn him about the adverse effects that his trade policies could have on the US tech giant. It is still unclear when the president made the commitment to Cook.
In April, the Trump Administration proposed a list of tariffs that excluded consumer electronics. However, a revised list was recently released that included several types of computer chips which raised fears that the tariffs could negatively impact the technology sector in the US.
The iPhone is Apple's biggest product and if tariffs were imposed, the company's bottom line would certainly be affected.
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