Trump's tariffs hit the U.S. again. Apple's smartphone exports from China have fallen dramatically

According to Bloomberg, the value of smartphone exports from China to the U.S. fell to below $700 million in April. That's a 72 percent drop. In comparison, the overall decline in the value of Chinese goods to the United States was "only" 21 percent.

Commenting on the data, the editorial team assessed that it underscores how the tariff campaign of the Trump administration (in the case of Chinese goods, the tariffs were set at 145 percent) is disrupting technology supply chains and directing electronics elsewhere. It also recalls that last year, smartphones, alongside laptops and lithium-ion batteries, were the largest group of goods imported from China to the United States.

Bloomberg points out that investors are worried about a global trade war that could undermine part of the bilateral US-China trade. Although during recent negotiations in Geneva , the US and China agreed to mutually reduce punitive tariffs by 115 percentage points for 90 days (as a result, Chinese tariffs on US goods are to be reduced to 10%, and US tariffs on Chinese goods to 30%), 20% punitive tariffs on China are still in force because the government in Beijing did not block the flow of fentanyl to the US, and relations between the two countries remain tense.

Beijing this week accused the Trump administration of undermining the Geneva agreement by warning against the use of Huawei Technologies artificial intelligence chips.

President Trump wants to force Apple to increase production in the US, the company is focusing on India

- China is interested in stabilizing relations with the US, but not at the cost of giving up its own economic and technological ambitions. Its current attitude is more of an attempt to manage the rivalry than to end it. Agreements, such as the recent tariff cuts, serve to reduce tensions and protect the domestic economy, but they do not resolve the deep structural differences between the two powers - Bożena Wróblewska, president of the Promotion Center of the Polish Chamber of Commerce, recently emphasized in an interview with WNP.

Given this situation, Apple, whose losses caused by the White House's tariff policy were estimated at $700 billion at the end of April, plans to move the assembly of all iPhones sold in the US from China to India next year.

President Trump criticized such actions, calling on the company to increase production in the US, which, however, will be very difficult due to costs and - due to the absorption capacity of the Indian market - not entirely rational from a business perspective.