What you need to know
- Apple is seeking tariff exemptions on some Apple Watch and Mac Pro parts.
- There are 25% import tariffs on some parts because they are made in China.
- The tariffs were first levied during the Trump administration because of the trade war with China.
Apple has filed eight public comments for exemptions on tariffs pertaining to parts found in devices like the Apple Watch Series 7 and Mac Pro.
As noted by CNBC:
Apple filed eight public comments supporting temporary waivers for tariffs on Apple Watch and Mac Pro parts on Wednesday, according to the U.S. Trade Representative's website.The filings are a public step in a process that could reinstate a government-granted exclusion on 7.5% tariffs on Apple Watch imports and 25% tariffs on Mac Pro components. Apple's watch and parts are subject to tariffs because they are imported from China. Apple's most important product, the iPhone, has not been subject to tariffs.
As the report notes these tariffs were levied during the Trump administration because of a trade war with China, with Apple paying a markup on fully assembled Apple Watches and Mac Pro parts on import.
Apple, seeking exclusion on the tariffs for Apple Watch stated that it supports reinstating the exclusions, saying "This exclusion is needed for a U.S.-designed smartwatch that is widely used by consumers for mobile connectivity and health applications." The application continues "This exclusion covers a complex consumer electronics device that is manufactured to specification at individually-qualified facilities. It is not currently available from sources in the United States."
Likewise, Apple says it supports reinstating the exclusion on Mac Pro parts because the components are not currently available from sources in the United States.
As CNBC notes the U.S. Trade Representative has said it will consider reinstating some exclusions on a case-by-case basis, especially where products can only be sourced from China.
