
Mac and Apple Watch will be hit by Trump’s tariffs starting August 1st
The Mac and Apple Watch are one of the products that will be effective on August 1st and will be hit by new tariffs on products manufactured in Thailand.
Products imported from Thailand to the US will be subject to 36% tariffs, increasing Apple’s costs by more than a third…
With Apple’s long-term plan to reduce dependence on China, the company is encouraging its suppliers to install production lines in many other countries, including Thailand.
The Apple Watch was the first product made in Thailand and the manufacturing industry began in 2022. This will be followed by the Mac Pro in 2023, and the MacBook will also be rallied there. Quanta reportedly began working on the production line for the MacBooks along with the Mac Pro in 2023, but their status is unknown.
Trump first threatened a 36% tariff on Thai-made products in April, then “suspended” them in response to market turmoil. However, he has now posted a copy of a letter on social media informing the Thai government that the tariff will be imposed from August 1st.
CNBC It reports that similar letters were sent to Cambodia with different tariff charges in Japan, South Korea, Malaysia, Kazakhstan, South Africa, Laos, Myanmar, Bosnia, Herzegovina, Tunisia, Indonesia, Bangladesh, Serbia and Cambodia. The 36% that Thailand is charged is the highest.
Like before, Trump said that US consumers buy more Thai-made products than vice versa (random capital and punctuation SIC).
We have been discussing our business relationship with Thailand for years, and have concluded that we must move away from these long-term and very sustained trade deficits created by Thailand’s tariffs and non-tariffs, policies and trade barriers. Unfortunately, our relationship was far from each other. Starting August 1, 2025, we will charge a duty of just 36% on all Thai products sent to the US, apart from all sector duties.
Trump originally claimed to attack new trade deals with 90 countries during the “suspension,” but none have yet been signed, with only three progressing.
As that suspension expired, the US announced only a broad framework with the UK and Vietnam, and announced a preliminary agreement with China.
So far, Apple has resisted rising US prices in response to tariffs, but it is unclear whether this will continue.
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