Apple Inc. Faces Significant Market Drop Following New Tariffs Announcement

In a dramatic premarket-hours trading session on Thursday, Apple Inc. shares experienced a sharp decline of 7%, triggered by the U.S. President Donald Trump's announcement of aggressive new tariffs affecting over 180 countries.

Impact on Apple's China-Centric Supply Chain

The newly imposed tariffs, which include a staggering 34% on Chinese imports atop an existing 20% rate, are poised to severely disrupt Apple's supply chain. Despite the company's recent diversification efforts, approximately 90% of iPhones are still manufactured in China, highlighting a critical vulnerability.

Market Reaction

By 5:37 am ET, the repercussions were evident as Apple's shares plummeted by 7.31%, settling at $207.52, underscoring the immediate financial impact of the tariff announcement.