The international markets have been going through a rollercoaster due to Trump’s administration after the “Liberation Day”. After a series of changes, we saw the rise of import duties in the US and an imminent chaos in everything that involves China. Trump’s tariffs were announced, but the court quickly blocked them, along with the ones that had been imposed when he stepped into office. However, after a subsequent appeal, Trump’s tariffs are back in effect and will remain until June 9.
Liberation Day’s Tariffs Are Back – Apple and US Companies Start To Lose Money
As per the court, the Emergency Economic Powers Act does not grant the president power to control trade. Such authority still belongs to Congress. However, after the ruling today, the tariffs are reinstated until June 9. On that date, both parties are expected to share their arguments and file them into the case. Only after that, the court will give a permanent ruling and decide on it. While the legal terms are put on the table, however, the market will continue to walk in its usual flow, and some tech companies like Apple will suffer.
While the move is stated to protect and make America strong, it will ultimately hit the US firms. Apple is one of the companies taking a major hit. It has invested heavily in its international supply chain over the years. If Apple is no longer allowed to benefit from this international arms trade, it will suffer a huge loss. The company is expected to lose $900 million in Q2 2025. Yes, Q2, there are still two quarters to close this year, and the loss can get bigger if things continue like this.
If nothing changes shortly, the iPhone 17 could end up being a small fortune. It will cost way more in the United States, and will certainly be even more expensive in other markets across the world. Trump is under certain pressure due to the damage being done to the US and foreign companies. These moves might hurt them more than bring any benefit. Unfortunately, the landscape is uncertain. For now, if you like to upgrade your iPhone every year, it’s time to earn more.
