Apple Inc. (NASDAQ:AAPL) was a topic of conversation of President Donald Trump on Twitter over the weekend, and that has led to some ripple effects. Let’s just say the tech titan’s suppliers had a rude awakening on Monday morning.
CNBC has the news on Apple.
Shares of Apple suppliers fell across Asia on Monday after U.S. President Donald Trump tweeted that the tech giant should make products in the United States if it wanted to avoid tariffs on Chinese imports.
Trump’s comment came after Apple told U.S. trade officials on Friday that proposed tariffs by Washington in an escalating trade war with China would affect prices for a “wide range” of Apple items, including the Apple Watch. It did not mention the iPhone.
As the president sees it, Apple can avoid raising prices by working around potential China tariffs by bringing manufacturing of its products to the US. “Make your products in the United States instead of China,” he wrote in part. “Start building new plants now.”
Apple suppliers including China-based Shenzhen Sunway Communication Co., and Suzhou Dongshan Precision Manufacturing were hit hard when overseas trading opened this morning.
Apple Inc. shares rose $0.90 (+0.41%) in premarket trading Monday. Year-to-date, Apple Inc. (AAPL - Get Rating) has gained 32.27%, versus a 8.69% rise in the benchmark S&P 500 index during the same period.