Apple CEO Tim Cook and more than 20 other executives met with China's premier today to discuss potential trade disruptions after Trump took office in January.
However, the report gives the impression that the meeting did not produce much, with some saying it was scheduled and did not discuss specific plans …
The Threat to Apple
Apple, of course, relies heavily on China as a manufacturing hub, with an estimated 80% of the world's iPhones being made in a single plant in country. Any trade conflict between the US and China could have serious consequences for the Cupertino company.
During Trump's last presidency, tariffs were imposed on a wide range of goods imported from China, including products made in China for American companies. Cook managed to convey to Trump the damage these tariffs would do to Apple and other American companies, and the plans were changed to exclude most high-tech products, including the iPhone.
However, Trump is again threatening to impose even more tariffs on Chinese-made goods, which could potentially include Apple products, and it is not yet known whether
Tim Cook and Other CEOs Meet Chinese Premier
Bloomberg reports that Cook was one of more than 20 CEOs who met with Li Qiang to discuss the threat.
Cook, who is visiting the country for at least his third time this year, joined top executives from global companies including Rio Tinto Plc, Corning Inc. and Charoen Pokphand Group for a meeting with Li Qiang, state media reported. Chinese corporate executives including the heads of Lenovo Group and ICBC were also at the event, which discussed supply chain and trade issues.
The meeting, which included about two dozen executives, was the first high-level meeting between foreign corporations and a top Beijing official since Donald Trump won a second four-year term. Companies around the world are bracing for the president-elect's threat to raise tariffs on Chinese goods.
But the report suggests little may have been accomplished.
It lasted more than an hour and seemed predictable, according to people familiar with the matter, who asked not to be identified because they were discussing a private event. Lee at one point quoted Adam Smith's view that the propensity to trade, barter and exchange is in human nature, the people said.
Lee also told executives to send him any feedback, saying he would take it seriously, one of the people said.
Cook later said Apple values China very highly and “couldn't do what we do without them [our Chinese partners].”
Photo by CJ on Unsplash
