The US Trade Representative’s office refused to grant a reprieve from 25 percent tariffs on the much-discussed optional wheels for Apple’s Mac Pro, a circuit board for managing input and output ports, power adapter, charging cable and a cooling system for the computer’s processor.
The decisions, posted Monday, come about a week after Apple announced it would make new Mac Pro computers in Austin, Texas after originally considering shifting production to China like its other products. The move followed an announcement this month that the US trade office had agreed to Apple’s request for tariff waivers on 10 of 15 Chinese parts.
President Donald Trump on Monday linked on his Twitter account to a Fox Business story about Apple’s plans in Texas and praised the company for supporting US Jobs, sorry jobs.
“Great news! @Apple announced that it is building its new Mac Pro in Texas. This means hundreds of American jobs in Austin and for suppliers across the Country. Congratulations to the Apple team and their workers!” the president tweeted Monday.
Apple said it didn’t have any comment beyond last week’s announcement. It does look like it will be saddled with having to build a US plant and the same tarriffs it would have to pay if it stayed put.
In letters to Apple posted online, USTR said the five exclusion requests were denied because they “failed to show that the imposition of additional duties on the particular product would cause severe economic harm to you or other U.S. interests”.
In announcing that the Mac Pro would continue to be made in Texas, Apple applauded the Trump administration for its tariff relief on the other components, including the computer’s casing and accessories like the mouse and trackpad. The starting price for the Mac Pro is $5,999 and the optional wheels are expected to be an extra cost.
Looks like it might be regretting that.
The Apple Watch, AirPods and iMac computers were hit by 15 percent tariffs earlier this month, while the iPhone, iPad and other major Apple products are set to be impacted later in December. Apple has maintained that its products are primarily designed in the US and has grown its local investment since the trade war began brewing.
