After the recent clamp-down on some Chinese companies notably Huawei and ZTE by the U.S. government, reports now have it that its Chinese counterpart may respond in the most extreme way by banning all Apple products from China citing “National Security”. If Apple is banned from China, the company has a whole lot to lose. Its business in China is worth about $46 billion which represent an 11% market share (according to Counterpoint data). Ths is about half of Apple’s business in the United States. Now, Apple’s CEO, Tim Cook who has not been an admirer of the US. President, Donald Trump met with the president to discuss some trade matters. The details of this meeting have not been made public but report already has it that the main focus of this talk is that Cook does not want Trump to engage in a trade war between China and the United States.
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It is believed that in today’s global economy, a fight between two heavyweights like China and the US. will make many multinational technology companies suffer and the small companies might even fold-up. It is reported that Cook also met with the White House’s chief economic adviser, Larry Kudrow, and attended a meeting with the U.S. trade representative Robert Lighthizer’s office. The White House Press Secretary, Sarah Huckabee Sanders, said that the focus and purpose of the meeting were to discuss trade. As a company headquartered in the United States, most of its products are produced in China, and the United States and China are the largest and third-largest technology companies in the market. It’s inevitable that Apple will suffer in this war.