What you need to know
- Apple asked for Apple Watch to be made exempt from tariffs.
- The request has been approved.
- A 15% tariff had been imposed.
Following the news that Apple's iPhone partner, Foxconn, now has enough people to deal with iPhone 12 demand, the company has more reason for cheer after its request to have tariffs removed from Apple Watch was approved.
According to a Bloomberg report, the US Trade Representative has approved Apple's request to have its watches made exempt from Chinese import tariffs. The tariffs had been imposed by President Trump at a rate of 15%, although that was reduced by half before the tariffs went into effect on February 15.
Apple argued in its request last year that its product, as a consumer electronic device, should be exempted because "it is not strategically important or related to 'Made in China 2025' or other Chinese industrial programs."
Apple also argued that it had been unable to find a supplier outside of China that would have been able to meet the demand for Apple Watches. Apple's wearable is the most popular smartwatch on the market by some margin.
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