Trump's trade war has taken a $700 billion bite out of Apple as people wake up to the reality of how expensive an iPhone [View all]

will be under the new tariffs

Apple’s market cap has plummeted by $700 billion as its stock takes a beating in the aftermath of Trump’s “liberation day” tariffs. The company is uniquely exposed to Trump’s tariffs on China, as it produces most of its moneymaker iPhones in the country. If CEO Tim Cook can’t secure tariff exemptions for the company, as he did during the first Trump administration, the blow could be “a complete disaster,” according to Wedbush Securities analysts.

Apple’s market cap has collapsed by $700 billion in the days following Trump’s “liberation day” as investors realized just how much new tariffs will hit the tech giant’s biggest moneymaker.

In the three days after Trump announced new eye-popping tariffs on U.S. trading partners, Apple stock plummeted 19%, making it the worst drop over the same period since 2001. Since April 2, Apple’s stock rout has chipped away about $700 billion from its market cap, dropping it to $2.6 trillion as of Monday from about $3.3 trillion last week. From $223 per share last week, Apple’s share price, as of Tuesday, had fallen to $175, and was down 3% in afternoon trading.

The stock rout comes as analysts warn the company’s biggest moneymaker, the iPhone, is at major risk from President Trump’s mega-tariffs because of its supply chain in Asia. While Apple secured exemptions when Trump instituted tariffs during his first administration, it’s unclear if CEO Tim Cook will be able to secure the same treatment this time.

https://finance.yahoo.com/news/trump-trade-war-taken-700-110500448.html